Romanian CPI trend downward despite Jan spike-BNR

Inflation in Romania continued at a faster-than-desired pace over the past year but its underlying trend remains downward despite a January 2001 consumer price inflation spike, the central bank (BNR) said on Feb 15, 2001. "Data showed a slower-than-desired disinflation but also revealed a clear potential to cut inflation in 2001 from 2000 provided that the factors which prompted last year's overshoot are not repeated," the BNR said in a report.

The report, presented to the weekly government cabinet meeting, said Romania needed coherent monetary, fiscal and restructuring policies if it was to meet a government goal of slashing inflation to around 25 percent for 2001. Data released on Feb 14 showed month-on-month inflation jumped to 3.7 percent in January 2001 from 2.5 percent in December 2000, but the year-on-year figure eased to 39.9 percent from 40.7 in December 2000 and was well below January 2000's 56.8 percent.

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