The annual inflation rate in Taiwan fell to 0.86 percent in June of 2019 from 0.94 percent in the previous month and in line with market expectations. Prices slowed for housing (0.69 percent vs 0.90 percent in May); education & entertainment (0.91 percent vs 1.02 percent); miscellaneous goods & services (0.07 percent vs 0.09 percent) and health (0.71 percent vs 0.93 percent). Additionally, cost continued to decline for transportation & communication (-1.19 percent vs -0.11 percent) and clothing (-1.42 percent vs -1.06 percent). On the other hand, food prices went up faster (3.36 percent vs 2.58 percent). Annual core inflation, which excludes fruits, vegetables and energy edged down to 0.48 percent from 0.60 percent in the prior month. On a monthly basis, consumer prices advanced 0.34 percent, accelerating from a 0.06 percent rise in May. Inflation Rate in Taiwan averaged 4.04 percent from 1960 until 2019, reaching an all time high of 61.47 percent in March of 1974 and a record low of -3.09 percent in October of 1970.
Inflation Rate in Taiwan is expected to be 0.70 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in Taiwan to stand at 1.20 in 12 months time. In the long-term, the Taiwan Inflation Rate is projected to trend around 2.10 percent in 2020, according to our econometric models.