Economy & Business - September 2007 (ISSN 1741-4431)

The domestic economy is picking up steam again. Retail sales and economic growth in July were both much stronger than expected. Indeed the flash economic growth figure for July, 4.8% year-on-year, was the best for nine months. Inflation, however, is on the march, judging from the jump in prices in the first half of September when consumer prices jumped by 0.6% and the government's subsequent decision to freeze petrol, gas and electricty prices, even though congress has passed a proposal that will increase taxes on fuel prices.