Low demand set to ‘contain’ inflation

Weak consumer demand is expected to contain Irish inflation in the coming months with global energy and food prices the only risks to increasing the cost of living for Irish consumers.

The Central Statistics Office yesterday said prices in April, as measured by the Consumer Price Index, remained unchanged in the month. Prices also showed no change in April of last year. Prices on average, as measured by the CPI, were 0.5% higher in April compared with Apr 2012.

Merrion Stockbrokers economist Alan McQuaid said domestic inflationary pressures in Ireland are likely to remain depressed for some time to come.