Economics Update – Jan 2020 CPI
- Vietnam’s headline inflation jumped to 6.43% yoy in Jan 2020.
- Food inflation pressure is still high but likely to decline in 2Q20F, in our view.
- We think oil prices will continue to drop due to demand fears related to the current novel coronavirus epidemic.
- We maintain our forecast of 3.2% average inflation in 2020F given the expected decline in food and transport prices.
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