Ecuador: Consumer prices, on an annual basis, fall in March on a stronger dollar

Consumer prices fell 0.21% over the previous month in March, a slightly softer drop compared to February’s 0.23% month-on-month decline. Food and non-alcoholic beverages registered the biggest decline in prices, followed by transport costs.

Consumer prices, on an annual basis, fell 0.1% in March, contrasting a 0.2% upturn in February. A stronger dollar, lifted by optimism over the U.S. and China striking a trade deal and upbeat employment data from the U.S., pushed down prices. Meanwhile, the annual average variation in consumer prices moved to minus 0.1% in March, from minus 0.2% in February.

Ecuador Inflation Forecast

Panelists participating in the LatinFocus Consensus Forecast expect inflation of 1.3% in 2019, which is down 0.2 percentage points from last month’s estimate. The panel projects inflation inching down to 1.4% at the end of 2020.