Consumer price inflation rose to 1.8 % p.a. in August, up from about 1.5 % in the previous three months. The surge in prices was driven by higher prices for food and fuel. Core inflation, which omits food and energy, only picked up slightly to 2.2 %. The general rise in prices does not yet cause concerns for policy-makers and no sudden changes in conditions are expected. This year's official inflation target is 3 %.
Producer price inflation in August accelerated to 6.3 %, up from 5.5 % in the previous three months. The pick-up in price inflation was highest in energy and other extractive industries, where higher prices have improved the firms' profitability and eased their debt situation.