Dominican Republic: Inflation jumps in October
November 10, 2015
In October, consumer prices rose 0.74% over the previous month, which followed the 0.16% increase observed in September. According to the Central Bank, the increase mainly reflected higher prices for transportation and housing.
Inflation jumped from 0.4% in September to 1.2%in October, which marked the highest reading in 10 months. Annual average inflation edged down from 1.0% in September to 0.9% in October and now sits at its lowest rate on record. As a result, headline inflation remains well below the lower bound of the Central Bank’s tolerance margin of plus/minus 1.0 percentage point around its 4.0% target rate.
At its meeting on 30 October, the Central Bank decided to maintain its monetary policy rate at 5.00%, taking into consideration the inflation outlook as well as the current state of the economy.
Author: Dirina Mançellari, Senior Economist