Romanians paid 0.5% more for food items in October compared with September, 0.13% more for non-food items, and 0.27 more for services.
Compared with October 2014, consumer prices were 1.64% lower, with a 6.5% drop in food prices, largely due to cut in value-added tax on food to 9% from 24% starting June.
Romania’s central bank sees annual inflation at -0.7% and expects the rate to remain in negative territory until May 2016 and return to positive territory by the end of 2016, when it is seen below 1.5%.
The inflation rate is expected to re-enter the central bank’s target band of 2.5% plus/minus one percentage point in 2017.