October figures appear to show inflation is slowly increasing

Analysts estimate that in October, for the first time in 2003, the Consumer Price Index (CPI) exceeded the level of 1%. According to data from the Central Statistical Office (GUS), in the second half of October, prices of food and non-alcoholic beverages grew by 1.5% in comparison to the same period last year. "We are sustaining our forecasts, according to which we envisage that inflation will grow by 1.3% in October," said Piotr Kalisz, an analyst with PKO BP. In his opinion this should be attributed to higher than usual seasonal dynamics of food prices growth, as well as higher cost of using flats and prices of energy. In September, inflation amounted to 0.9%, which was the highest level so far this year. "However, the level of inflation is still low and should not give rise to concern," said Piotr Bielski from BZ WBK. (Puls Biznesu, pp. 1, 6) M.M.