The inflation data has shown that traders swallowed most part of the VAT increase

The July VAT increase did not appear fully in inflation, because in the shrinking domestic market, many traders were not able to increase their prices, in addition to the seasonal food prices decreased more than expected.

The inflation datas of the Central Statistical Office pleasantly surprised the analysts.
Only a 5.1 percent increase has been occured compared to the same period of the previous year. In the first seven months of this year a 3.6 percent increase has been occured in consumer prices compared to the comparable period of 2008. Some forecasts projected more then 7 percent inflation rate – reports Népszabadság Online.