Inflation in the Czech Republic in May reached record highs over the past almost 30 years and in annual terms amounted to 16%, against 14.2% in April, Report informs referring to the Statistical Office of this country.
“This is the worst figure since December 1993, when it was at the level of 18.2%,” the office said.
In the Czech Republic, prices for food and housing are growing fastest. In May, in annual terms, prices for natural gas in the republic increased by 49.2% and for electricity by 30.8%, which led, in particular, to the high cost of goods for the population in retail stores.
Meanwhile, Czech analysts point out the erroneousness of the forecasts of financial experts about the decline in inflation in May. The National Bank of the country was also mistaken, saying that it would amount to 14.9%. It is expected that in the near future the financial regulator will raise the key rate by at least 0.75 percentage points. This should support financial and price stability, as well as protect citizens’ savings from depreciation.