By: The Quinnipiac University Economics Research Team, Nicholas Ciampanelli
Since the onset of the COVID-19 pandemic, Slovakia’s Consumer Price Index (CPI) experienced a consistently lower inflation rate compared to previous years. However, the CPI increased by 1.6% in October on a year-over-year (YOY) average; this is a 0.2% increase compared to CPI inflation rates in August and September.
This rise in inflation is largely attributed to the hospitality sector’s response to a rise in COVID-19 cases across the country; specifically the healthcare, hotel, and restaurant industries are driving these price changes in response to the looming threat of a nationwide lockdown. This is evident from pricing in the hotel and restaurant industries increasing by 4.2% YOY while healthcare prices rose by 3.8% YOY.
However, consumers are primarily noticing these price changes at the grocery store – after a four-month decline in prices, grocery prices rose by approximately 0.3% in the month of October. Most of these prices changes are evident amongst essential goods, such as bread, vegetables, and non-alcoholic drinks.
This article is based on: https://spectator.sme.sk/c/22533288/consumer-prices-started-growing-again.html