Guatemala: Inflation continues to moderate
June 12, 2012
In May, consumer prices rose 0.13% over the previous month, which was markedly down from the 0.37% increase recorded in April. According to the National Statistics Institute, the slowdown reflected lower prices for transport as well as for leisure. Owing to the softer monthly increase, annual inflation fell from 4.3% in April to 3.9% in May, which marks the lowest reading since September 2010. Moreover, the core inflation index added 0.25% over the previous month (April: +0.38% month-on-month). As a result, annual core inflation moderated further from 3.8% in April to 3.6% in May. At its current level, inflation sits within the Central Bank inflation target range of 4.5% +/- 1.0% for this year. For 2013, monetary officials have set an inflation target range of 4.0% +/- 1.0%.