Guatemala: Inflation picks up at the end of the year
January 8, 2013
In December, consumer prices rose a strong 0.54% over the previous month, which contrasted the 0.01% drop seen in November. According to the National Statistics Institute, the monthly print mainly reflected a hefty increase in prices for housing and, to a lesser extent, in recreation and culture, which more than offset a sharp drop in alcoholic beverages.
As a result of the monthly reading, annual headline inflation jumped from 3.1% in November to 3.5% in December. The print marks the highest rate in six months but still remains well below the 6.2% seen at the end of 2011. Meanwhile, the core inflation index added 0.18% over the previous month (November: +0.23% month-on-month), driving the annual core inflation to 3.4% (November: +3.4%).
The Central Bank set an inflation target range of 4.0% plus/minus 1.0% for this year.