Panama Inflation


Inflation eases in September

In September, consumer prices added 0.07% over the previous month, which was well below the 0.49% rise recorded in August. According to the National Comptroller's Office (Contraloria General de la Republica), the monthly figure mainly reflected higher prices for transport as well as for healthcare. As a result of the weak monthly figure, annual headline inflation fell from 6.1% in August to 5.4% in September. Currently, the inflation rate remains well above the country's historically low levels. In the country's dollarized economy, authorities lack the freedom to use monetary policy or exchange rate adjustments to reduce inflation.


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Panama Inflation Chart

Panama Inflation September 2012

Note: Annual and monthly variation of consumer price index in %.
Source: National Comptroller

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