The annual inflation rate in Macedonia fell to 0.3 percent in June 2019 from 1.4 percent in May. It was the lowest inflation rate since February 2017, as cost of transport dropped (-1.1 percent vs 1 percent in May) and prices of food & non-alcoholic beverages were flat (vs 2.3 percent in May). Additionally, cost eased for restaurant & hotels (0.7 percent vs 1.2 percent); furnishings & household equipment (1 percent vs 1.7 percent) and recreation & culture (1.7 percent vs 2.1 percent). Also, prices declined further for housing & utilities (-0.2 percent vs -0.1 percent); and continued to fall for clothing & footwear (-0.6 percent) and education (-0.5 percent). Meantime, cost rose at a faster pace for health (2.9 percent vs 2.8 percent) while decreased less for miscellaneous goods & services (-0.5 percent vs -0.7 percent) and communication (-1.6 percent vs -1.7 percent). On a monthly basis, consumer prices went down 1.1 percent, after a 0.5 percent gain in May. Inflation Rate in Macedonia averaged 1.72 percent from 2006 until 2019, reaching an all time high of 9.90 percent in June of 2008 and a record low of -2.10 percent in December of 2009.
Inflation Rate in Macedonia is expected to be 1.50 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in Macedonia to stand at 2.00 in 12 months time. In the long-term, the Macedonia Inflation Rate is projected to trend around 2.40 percent in 2020, according to our econometric models.