Country Report Syria March 2011

Outlook for 2011-12: Inflation

Consumer price inflation rose unexpectedly to 6.9% at end-2010, driven by rises in food and beverage prices, which are 40% of the overall index. It is expected to average at 7.1% in 2011, as global commodity prices soar. Average inflation will then ease to 2.4% in 2012, owing to a stabilisation or decline in the number of Iraqi nationals in Syria, falling commodity prices and a helpful base effect.

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