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Bulgarian inflation holds steady at 2.0%: official data

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(Globalpost/GlobalPost)

Bulgaria's 12-month inflation stabilised at 2.0 percent in May after dropping for months, as the country continues to battle deepening poverty with a new government in place.

Inflation was unchanged in May from April at 2.0 percent after falling since the beginning of the year, as food and utilities prices -- the main drivers behind inflation -- remained stable, official data showed on Wednesday.

On a month-on-month basis, consumer prices in EU member Bulgaria were down 0.1 percent in May after edging down 0.4 percent the previous month.

Using the European Union's harmonised index of consumer prices (HICP), the European Central Bank's inflation yardstick, 12-month inflation was 1.0 percent, up from 0.9 percent in April.

In 2012, inflation in the EU's poorest country averaged 3.0 percent, just below the government's target of 3.2 percent, and it was expected to be around 3.4 percent this year.

A new Socialist-backed government of technocrats took office in late May and has the task of tackling the country's serious poverty and unemployment problems, which led to the previous government being ousted in February.

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http://www.globalpost.com/dispatch/news/afp/130612/bulgarian-inflation-holds-steady-at-20-official-data