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Peru Inflation February 2022

Peru: Inflation rises in February

Consumer prices rose 0.31% in February over the previous month, accelerating from January’s 0.04% increase. February’s reading was the tenth consecutive month of rising prices and was predominantly driven by a sharper increase in food prices, and rebounding energy costs.

Inflation came in at 6.1% in February, which was up from January’s 5.7% and marked a move back toward the peak of 6.4% set in December 2021. Concurrently, annual average inflation rose to 4.5% in February (January: 4.2%), while core inflation rose to 4.2% in February, from January’s 3.9%.

Regarding on the outlook, Hugo Vega, economist at BBVA Research, commented:

“In the next months, we expect an acceleration in inflation due to lagged price adjustments (in particular, educational costs in March), and in response to higher international prices for fuel and some foodstuffs because of the conflict in Europe. For year-end 2022, we maintain the forecast of inflation around 3.4% but with an upward bias due to the conflict in Ukraine”

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