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Meaning of net inflation rate. What is it: period, expressed as a percentage of the prices at the.

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Definition net inflation rate

NET INFLATION RATE title: net inflation rate (FI) (SAP Library - Glossary)
NET INFLATION RATE category: Financial Accounting (FI)
NET INFLATION RATE explained:

The net increase (or decrease) in prices over a specifc period, expressed as a percentage of the prices at the start of the period.

Example

The inflation index for January is published in accumulated format as 126,420. In June this figure rises to 194,520. Rounded off to two decimal places, this gives a net inflation rate of 53.87% (((194,520/126,420)-1)*100).

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