Dominican Republic: Inflation hits highest level in nine years in January
Consumer prices rose 0.97% in January over the previous month, accelerating from December’s 0.48% increase. January’s figure was the sharpest increase in prices since July 2020, and was driven by higher prices for transport, food and housing.
Inflation came in at 6.2% in January, which was up from December’s 5.6%. January’s figure represented the highest inflation rate since January 2012. Annual average inflation edged up to 3.9% in January (December: 3.8%). Lastly, core inflation ticked up to 4.9% from the previous month’s 4.8%.
Recent price pressures are judged to be partly transitory, amid weather-related supply issues and higher import prices, and panelists see inflation falling back into the 3.0%–5.0% target range this year as the impact of these factors fades. However, the recent surge in crude oil prices poses an upside risk.