Venezuela: Inflation accelerates at the end of the year
January 11, 2013
In December, the consumer price index for the Caracas Metropolitan Region rose 2.91% over the previous month, which was above the 2.01% increase tallied in November. The print overshot Consensus Forecast panellists' expectations that had prices rising 2.24% and represents the largest monthly gain since May 2011. The monthly price increase mainly reflected higher prices for food and non-alcoholic beverages as well as for restaurants and hotels.
Building on the monthly increase, annual headline inflation rose from 18.2% in November to 19.5% in December, which represents the highest reading observed in six months. Meanwhile, the core inflation index, which excludes volatile items such as fresh food, oil and other goods subject to government price controls, rose 2.55% over the previous month, up from the 2.32% increase tallied in November. As a result, annual core inflation rose from 20.8% in November to 21.5% in December.