2014 saw historical drop in consumer prices

For the first time in history consumer prices have dropped on the whole in 2014 - by 0.1 percent on an annual basis reports CSOB bank analyst Marek Gábriš. Deflation was observed in eight out of the 12 months of the year. "The trend is particularly due to lower regulated prices, especially those of electricity. Prices were also down in transport, post and telecommunications, housing, foodstuffs and furniture. Meanwhile, prices were up in education, alcohol and tobacco, clothing and footwear. Prices could bottom out in 2015 and draw close to rises of 1 percent. That said a lot will depend on energy prices for households early this year. The recent plunge in oil prices also bespeaks a mitigating effect on price increases in Slovakia," adds analyst Marek Gábriš. Katarína Muchová of Slovenská Sporiteľňa bank weighed in by saying that "the low oil prices will curb rises in prices in Slovakia and the Eurozone alike. This is why inflation is expected to remain low and go up only in a slow fashion," she said.