Costa Rica: Inflation holds steady in July
August 8, 2018
Consumer prices rose 0.28% in July compared to the previous month, up from June’s 0.18% increase. According to the National Institute of Statistics and Census (INEC), July’s price increase came on the back of higher prices for food and non-alcoholic beverages, which more than outweighed lower prices for clothing and footwear.
Inflation was steady at the previous month’s 2.1% in July and remained in the lower bound of the Central Bank’s 2.0%–4.0% target range. Meanwhile, annual average inflation was slightly higher in July, accelerating to 2.2% from 2.1% in June. This is the highest annual average inflation rate since September 2015.
Costa Rica Inflation Forecast
FocusEconomics Consensus Forecast panelists expect inflation to end this year at 3.0%, which is down 0.1 percentage points from last month's forecast. In 2019, the panel sees inflation ending the year at 3.2%.
Author: Edward Gardner, Economist