Inflation October 2023 – higher than expected. The CSO submitted fresh data

October inflation in Poland exceeded erstwhile forecasts of 6.6% per year, resulting from the final reading of the Central Statistical Office. This consequence is higher than presented 2 weeks ago, suggesting maintaining price force on consumers. However, the rate of price increase continues to stay comparatively low, being presently lowest since the late 2021s.

More Life: Price emergence In October Strongest Than 2 Years

The last reading of inflation indicates the strongest price increase in 2 years. In October consumer prices increased by 6.6% year-on-year on average and 0.3% month-on-month on average. Although the pace of price increases in Poland is inactive higher than in another European Union countries, there is simply a tendency to slow down. In September 2021 inflation amounted to 5.9 percent, and 1 period later already 6.8 percent.

On a monthly basis, there has been a first increase in six months. From May 2023, inflation period to period either remained at 0%, as it did in June and August, or was negative, as in July (-0.2%) and September (-0.4%).

The biggest growth in the categories “Education” and “Other Goods and Services”

In October, the largest price increase was recorded in the category "education", where the rate increased by 10.5% year-on-year and by 1.6% month-on-month. Similarly, a advanced increase was recorded in the "other goods and services" sector, where the increase was on average 9.4 percent on an yearly basis and 0.3% on a monthly basis. besides in the basket, food and non-alcoholic beverages saw a crucial increase of 8% per year and 0.5% per month.

The only area where price increases fell was the transport sector. Inflation in this category was -7.9 percent on an yearly basis and -2.2 percent on a monthly basis. specified a consequence was the consequence of reductions in fuel prices at stations, peculiarly seen in the first half of October. It is worth noting that since the elections to Parliament on 15 October, prices on stations have started to rise.

Economic Perspectives: Inflation inhibition and economical Reflection

Analysts from ING Bank Śląski indicate that October data propose that "the fast deflation period is behind us". The rate of price increase in base terms, after excluding food prices and energy carriers, was 8%. According to experts, the following months may consequence in a slower fall in the consumer price index.

Inflation besides affects the behaviour of consumers who respond to the slower pace of increases in services and products prices, which translates into an increase in spending. This is reflected in the economical recovery recorded in the 3rd quarter, where GDP increased by 1.4% quarterly and by 0.4% year-on-year. After the weaker first half of this year, the Polish economy clearly gives signals of reflection.