VILNIUS, March 30 (Xinhua) -- Lithuania's annual inflation rate, as measured by the EU Harmonized Index of Consumer Prices (HICP), reached 15.6 percent in March, according to estimates released by the country's statistics office on Wednesday.

       It was the highest annual inflation rate since 1994 when it stood at 45 percent, Statistics Lithuania noted.

       The rise of annual inflation was mainly driven by higher prices for housing, water, electricity, gas and other fuel goods and services, food and non-alcoholic beverages, and transport goods and services.

       The EU-harmonized monthly inflation rate for March was estimated at 2.4 percent, according to Statistics Lithuania.

       Lithuania's GDP is expected to grow by 2.7 percent this year and inflation by 10.5 percent under the conventional scenario, Gediminas Simkus, the chairman of the Board of the Bank of Lithuania, said during a press conference held last week.

       However, due to the declining exports, less raw material imports, an uncertain environment for investment, and rising energy prices, lower GDP growth and higher inflation are expected under the Bank of Lithuania's economists' shock scenario and larger shock scenario.

       As Western countries refuse to buy Russian resources, the increasing cost of electricity, heating and transport for all sectors of the economy will continue to push up consumer price inflation, Simkus added.

       According to the researchers of Pricer.lt, the average price of the cheapest food in Lithuanian shops has increased by 3.87 euros, or 6.4 percent, compared to that of February 2022 and 8.91 euros, or 16.2 percent, compared to that of March 2021.

       According to Statistics Lithuania, the country's inflation rate in February was 14 percent, the highest among the European Union. (1 euro = 1.12 U.S. dollars)