Colombia: Inflation slows in December
January 5, 2012
In December, consumer prices expanded 0.42% over the previous month, up from the 0.14% rise observed in November and exceeding market expectations of a 0.30% increase. The monthly increase mainly reflected higher prices in the communications and entertainment categories. However, annual headline inflation slowed from 4.0% in November to 3.7% in December. The core inflation index, which excludes volatile items such as fresh food and fuels, expanded 0.51% month-on-month in December, pushing annual core inflation up to 3.9% from 3.8% in November, although still within the Central Bank's target of 3.0%, with a 1.0 percentage point tolerance margin.