May price rises will influence consumer prices less than January increases, central bank

The National Bank of Moldova says the May prices rises will have a lower impact on the consumer prices compared with the January increases. The inflation for May is within the rate of 10.8% anticipated for this year, the central bank says in a communiqué, quoted by Info-Prim Neo. The seasonal factor significantly contributes to the formation of prices in this period when the meat, fish and dairy products grow cheaper. The general rate of inflation is within the limits of the set objective. It was 5.1% for the last 12 months, which shows that the non-monetary factors have an increased effect on the inflationary process, it is said in the communiqué. The monthly rate of inflation, including the rise in the prices of non-food products, continues to decrease following the appreciation of the national currency against the currencies of Moldova's main trade partners - the EU and Russia. The regulated prices in May rose by 1.9% from April, mainly as a result of the rise in the selling price of Russian gas. The gas charges for end-users increased by 14.1%, while the price of the heat supplied by Termocom and CET-Nord – by 17.5% and 15.9% respectively. The increase in water and sewerage charges and in transport fares in some of the Moldovan towns also contributed to the modification of the regulated prices. According to the National Bureau of Statistics, the Consumer Price Index in May was 7.9%, down 0.2% from April.