Dominican Republic: Inflation rises in September
October 12, 2012
In September, consumer prices jumped 0.65% over the previous month, which was below the 1.01% increase seen in August. According to the Central Bank, the reading was mainly driven by strong increases in prices for food and non-alcoholic beverages as well as for transport and education. As a result, annual headline inflation rose from 2.2% in August to 2.6% in September, the highest reading in three 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 27 September meeting the Central Bank left the monetary policy rate unchanged at 5.00%, following a rate cut at the previous meeting in August.