BNR report forecasts minus 0.4 percent inflation for 2016

BNR forecasts negative inflation for 2016, below the May estimate

Newsroom 09/08/2016 | 10:41

The National Bank of Romania (BNR) forecasts a rate of inflation of – 0.4 percent for the end of the year, one percentage point below the estimate announced in May of – 0.6 percent, a report released Monday by BNR governor Mugur Isarescu shows.

For the end of next year the central bank is forecasting an inflation rate of 2 percent, also down compared to the estimate announced in the May report, which stood at 2.7 percent.

“In 2018, the inflation rate will likely be somewhere above the target (of 2.5 percent). In 2017 it will get very close to the target. We don’t need to change the target now, as it was suggested, because we will have enough time as we approach the eurozone, to see what is happening there. But it is obvious we are approaching the target, as far as inflation is concerned,” the BNR governor explained.