Taiwan inflation stays above 2% for a fourth month in August
Taiwan's inflation stayed above the 2% warning line in August, but the pace of price rises slowed sharply — a mildly good sign for shoppers and for the central bank.
- Consumer prices rose 2.04% from a year earlier, the fourth month in a row above 2%, but well down from before.
- Gas and diesel costs are still the biggest driver, pushing fuel bills and airfares up by double digits.
- Eating out, rent, electricity, fish and eggs all cost more than a year ago.
- Vegetables collapsed in price after last year's typhoon and heavy rain made the comparison base unusually high, holding the overall number down.
- A tax cut on new cars and scooters made vehicles cheaper, offsetting some of the increase.
Outlook: If fuel prices stay frozen and food supply holds up, inflation should keep easing back toward the 2% line in the months ahead.