NBS: Decree on margins lowers inflation in September

In monthly terms, consumer prices receded by 1.6% on average in September, as a result of implementation of the Serbian Government’s Decree on Special Conditions for Trade in Certain Goods which capped wholesale and retail trade margins at 20% over a six-month period, announced the National Bank of Serbia (NBS).

According to SORS data, y-o-y inflation slowed to 2.9% in September, its lowest level since April 2021, the NBS pointed out.

Core inflation also slackened to 3.9%, as did the growth in prices of products and services within this measure of inflation.

– The prices of food and non-alcoholic beverages saw a sharp monthly downturn of 4.5%, broadly dispersed across categories. Vegetable prices slumped by 14.9%, fruit prices by 8.2%, while processed food prices declined by 3.0% on average. Y-o-y, the rise in food and non-alcoholic beverage prices slowed notably in September to 1.7%.

The prices of products and services within core inflation recorded a monthly decrease of 0.5%. This was due to the seasonal decline in prices of tourist package deals, but also to the cheapening of some categories of industrial products covered by the Decree.

Energy prices gained 0.6% monthly, reflecting slightly higher prices of petroleum products and solid fuels.

Y-o-y, energy prices increased by 1.5% in September.

Narodna banka Srbije Beograd

Republički zavod za statistiku Beograd

National Bank of Serbia

Statistical Office of the Republic of Serbia

year on year inflation