The central bank in November revised downward its forecast on the year-end inflation to 3.3% in 2011 and 3% in 2012, from 4.6% and 3.5%, previously.
“The rate might be lower than we estimated in our latest prognosis. The exchange rate was relatively stable…, while the central bank’s foreign currency reserves are holding at high levels, above the optimum level,” Isarescu told an inflation seminar.
Romania’s inflation rate rose to 3.55% in October after four consecutive months of declines, but remained near a 20-year low of 3.45% recorded in September.
The central bank targets an annual inflation of 3% at the end of 2011, plus/minus one percentage point around the band.