Dominican Republic: Inflation continues to gain momentum in October
November 14, 2012
In October, consumer prices rose 0.24% over the previous month, which was below the 0.65% increase seen in September. According to the Central Bank, the reading was mainly driven by strong increases in prices for transport and housing, which more than offset lower prices for clothing and footwear. As a result, annual inflation rose from 2.6% in September to 2.8% in October, the highest reading in five months. At the current level, inflation sits well below the Central Bank's target of 5.5% with a 1.0 percentage point tolerance margin set in the Monetary Policy Program for 2012. At its 31 October meeting, the Central Bank left the monetary policy rate unchanged at 5.00%, following a similar decision in September.