The Czech Republic’s consumer price inflation accelerated more-than-expected in November, largely driven by the development in utility costs, data from the Czech Statistical Office showed on Monday.
Consumer prices climbed 16.2 percent year-over-year in November, faster than the 15.1 percent rise in October. In September, the inflation rate was 18.0 percent.
Economists had expected inflation to rise to 15.6 percent.
The price growth in housing, water, energy, and fuel rose to 16.9 percent in November from 11.1 percent in the prior month, as last year?s zero VAT for gas and electricity prices was partially reflected.
Prices for food and non-alcoholic beverages have the biggest influence among commodity groups, rising 26.0 percent from last year.
Clothing and footwear prices surged 18.2 percent, and transport charges were 13.6 percent more expensive.
On a monthly basis, consumer prices moved up 1.2 percent in November versus an expected increase of 0.9 percent.
The Czech National Bank expects inflation to peak at the end of this year. In the course of next year, it will decline rapidly from double-digit levels due to diminishing growth in costs, cooling external demand, and the previous tightening of monetary policy, which are helping to dampen domestic demand and the labor market.