Central bank reiterates optimistic forecasts that inflation will be under 10% at this yearend

The administration of the National Bank of Moldova reiterates the optimistic forecasts that the rate of inflation at the end of this year will be under 10%, Info-Prim Neo reports. The rise in prices, especially of animal products, constitutes a secondary effect of last summer’s drought. The Government’s decision to cancel the import quotas on meat will have a favorable effect on the general level of prices, a communiqué from the central bank says. According to officials of the bank, the measures taken by the Government and the National Bank will temper the rise in prices in the months to come, while the objective of single-digit inflation in 2008 is achievable. Since the start of this year, the prices in Moldova increased by about 4.1%. The prices of food products rose by 7.4%, of non-food products by 0.9%, and of services by about 4.8%. The consumer prices over 12 months (March 2007-March 2008) rose by 15.4%. The food products grew dearer by 22.1%, the non-food products by 10.2%, while the services by 10.5%.