Ecuador: Inflation returns in April
May 13, 2019
Consumer prices returned to growth at the outset of the second quarter, rising 0.17% over the previous month in April. This contrasts a 0.21% month-on-month decline in March. Higher education prices led the increase, followed by increased health and transport costs. Meanwhile, prices for recreation and culture fell by the biggest magnitude.
Inflation came in at 0.2% in April, after consumer prices, on an annual basis, fell 0.1% in March. Escalating U.S.-China trade tensions has weakened the dollar and exerted upward pressure on prices. Meanwhile, the annual average variation in consumer prices remained at minus 0.1% in April.
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 up to 1.4% at the end of 2020.
Author: Nihad Ahmed, Economist