Costa Rica: Inflation jumps in November on higher food prices
December 3, 2010
In November, consumer prices increased 0.66% over the previous month, which was above the 0.47% price increase registered in October. According to the National Statistics Office (INEC, Instituto Nacional de Estadistica y Censos), higher prices for food and non-alcoholic beverages (+2.16% month-on-month) as well as for transport (+0.33% mom) drove the November increase. Annual inflation jumped from 5.3% in October to 6.1% in November. At the current level, the figure is well above the Central Bank's 5.0% inflation target. The core inflation index, which smoothes out short-term fluctuations of the consumer price index, added 0.58% in November, pushing annual core inflation up from 2.7% in October to 3.3%. According to the Revision of the Macroeconomic Program 2010-2011 from July, the Central Bank maintains an inflation target of 5.0% for this year and 4.0% for 2011, both with a tolerance margin of 1 percentage points.