The nation's inflation rate picked up sharply last month on the back of higher food and oil prices, the government said yesterday.
It said the consumer price index (CPI) last month rose 2.30 percent year-on-year and 0.21 percent month-on-month, seasonally adjusted, after gains of 1.61 percent and 0.15 percent in April, the Directorate General of Budget, Accounting and Statistics said.
Last month's core price index, which excludes prices of fresh vegetable/fruit, fishery products and energy, was up 0.56 percent from a year earlier but down 0.05 percent from April.
These figures compare with April's year-on-year rise of 0.69 percent and month-on-month increase of 0.88 percent.
Accelerating inflation may make the central bank more inclined to raise interest rates for a fourth straight quarter when policy makers hold their next rate-setting meeting this month.
The bank raised its benchmark discount rate on 10-day loans to commercial lenders by an eighth of a percentage point to 1.875 percent at its last quarterly policy meeting on March 24 to keep inflation in check.
The government on May 19 reiterated its 1.7 percent inflation projection for the year.
Food costs increased 1.9 percent last month from April, the statistics agency said. Vegetable prices rose 20 percent during the month as crops were damaged by heavy rain.
Last month's wholesale price index fell 0.61 percent year-on-year and was down 1.29 percent month-on-month.
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