Slovak inflation accelerated in January to the fastest pace in 13 months, driven higher by food and regulated utility prices.

The annual rate rose to 3.8 percent from 3.4 percent in December, the Bratislava, Slovakia-based statistics office said today. Consumer prices rose a monthly 1.3 percent, compared with 0.3 percent in December. The annual rate compares with the 3.4 percent median estimate by 11 economists in a Bloomberg survey.

Slovakia is coping with accelerating price growth at a time when the government must show the drop in the inflation rate from 5.1 percent in August 2006 is sustainable enough to allow the country to adopt the euro in 2009. Inflation is still slower than in surrounding countries including the Czech Republic and Hungary, a sign the currency switchover is attainable, economists said.

The koruna was trading at 33.657 against the euro at 9:36 a.m. in Bratislava, down from a close of 33.565 on Feb. 8.

Slovak average inflation has been below the European Union's limit to join the euro since August. The Finance Ministry expects that the 12-month harmonized average rate will be 2.1 percent in March, measured by EU methodology, a full percentage point below its estimate of the euro adoption ceiling for that month.

Rising the most in January were costs of running a household, which were up 2.3 percent in the month. Food, which has the biggest weight in the consumer-price basket, gained 2 percent and transportation costs rose 1.7 percent.

The increase in household costs was driven mainly by regulated prices such as electricity, heat and waste collection, the office said.

Still, the pickup won't fully translate into harmonized inflation for January as the EU methodology doesn't include the so-called imputed rent, a statistical gauge of homeowner maintenance costs, she said. Harmonized inflation was 2.5 percent in December and the January figures are scheduled for release on Feb. 29.

Economists including Valachyova said today's release will allow the central bank to keep its key two-week interest rate at 4.25 percent for a 10th month in a row at the next meeting on Feb. 26.

The core inflation rate, which strips off the effect of changes to regulated prices, fell to 4.1 percent from 4.2 percent in December, the office said. Core consumer prices advanced 1.1 percent from December, compared with a 0.4 percent increase in the previous month.