Bulgaria Inflation Up to 1,3% y/y in March

Bulgaria inflation in March has been increased by rises in the prices of fuel and tobacco. Photo by BGNES

The consumer price index (CPI) in Bulgaria went up to 1,3% year-on-year in March after marking a 0,9% increase the previous month, statistics office data showed on Wednesday.

On a monthly basis, the CPI edged up by 0,2%.

Food prices in January slightly decreased by 0,1% on a monthly basis. Non-food prices increased 5.9% on an annual basis in March and were up by 1.0 % on the month.

Prices of diesel and petrol went up by 5.5% and 6.0 % respectively on the month, while cigarette prices rose 2.3%, according to the data.

Prices of services edged down 0.2 % month-on-month.

Meanwhile, the harmonized index of consumer prices rose 2,4% on a yearly basis in March and was up 0.4% on a monthly basis.

Double-digit inflation and a growing current account deficit had prevented Bulgaria from joining the ERM II, so-called waiting room to the eurozone, since it joined the European Union in 2007.

The center-right government dropped its plans for applying for ERM II after raising the alarm that the 2009 budget gap was 3.7% of gross domestic product rather than the 1.9 % due unaccounted procurement deals.