Year-on-Year Inflation in November 7.5% – National Bank of Serbia Expects Peak in Late 2021 and Early 2022, Gradual Decrease from April

Prices of goods and services used for personal consumption in November 2021 in relation to October 2021 increased by 0.9% on average, the Statistical Office of the Republic of Serbia announced.

Consumer prices in November 2021, increased by 7.5% in relation to November 2020. In November 2021 in relation to December 2020, consumer prices increased by 7.4%, on average.

– Observed by main groups according to the destination of consumption in November 2021 in relation to the previous month, increase of prices was noted in the groups Food and non-alcoholic beverages (1.5%), Transport (1.3%), in the groups Clothing and footwear and Restaurants and hotels (each by 1.2%), Furnishings, household equipment and routine maintenance of the house (0.8%), Housing, water, electricity, gas and other fuels and Health (each by 0.6%). Increase of prices was noted, also, in the groups Communication and Education (each by 0.1%) – the announcement says.

Prices of other goods and services mostly remained unchanged.

According to the projection of the National Bank of Serbia, the y-o-y inflation by mid-2022 will most probably continue moving above the upper limit of the targeted band of 3.0 ± 1.5%.

– We expect the inflation to peak at the end of the current year and the beginning of the next one and to start going down gradually from the second trimester of the next year. In mid-next year, it is expected to go back within the targeted band – the NBS says.

Considering the high base from this year, there’s a possibility that the overall inflation ends up in the lower half of the targeted band of 3.0 ± 1.5% in the second half of next year, the NBS says.

– The risks regarding the inflation in the upcoming period refer primarily to the trends in the prices of the primary agricultural products, the global price of energy sources, the quickness of the global economic recovery and the duration of the problems in global supply chains. When it comes to local risks, the inflation will mostly depend on the results of the next agricultural season, which, for the purposes of the projections, are set at the average level – it is pointed out.

Republički zavod za statistiku

Statistical Office of the Republic of Serbia

inflation

Food and non alcoholic beverages

Transport

Restaurants and hotels

Clothing and footwear

Furnishings household equipment and routine maintenance of the house

Housing water electricity gas and other fuels

Health

Communication

Education