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Post by livinginmedellin on Jan 6, 2017 7:58:50 GMT -5
Inflation or the consumer price index (CPI) in Colombia in 2016 grew 0.42% in December, closing at an annual rate of 5.75%, according to the report released last night by DANE. The figure remained 2.75 points above the target set by the Bank of the Republic (3.0%), but was lower than the 6.77% observed in 2015 and greater than 0.15% Market analysts expecting 5.60%. DANE said that last year four spending groups were above the national average, and they were health (8.14%); Other expenses (7.25%); Food (7.22%) and education (6.34%). It is worth noting that commodities in the family basket such as panela and beef had increases during the year of 63.55% and 20.44%, respectively. Among the groups with less than average variation are housing (4.83%); Communications (4.72%); Transport (4.47%); fun (4.05%) and clothing (3.98%). On the other hand, Medellín had the highest annual local inflation among 24 cities measured by DANE, an increase of 6.54%, lower than the 6.82% increase registered in 2015 and far from the tolerable 3.44% 2014. This higher general increase in price levels during the past year was felt by the lower strata (1 and 2) with a variation that stood at 6.98%, while in middle (strata 3 and 4) it was 6.47%, while the highest income families (5 and 6) saw an increase of 5.96%. See (in Spanish): www.elcolombiano.com/negocios/la-inflacion-de-colombia-subio-5-75-en-2016-dane-YM5709742A presentation from DANE is here: www.dane.gov.co/files/investigaciones/boletines/ipc/ipc_prese_dic16.pdf
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Post by colombiana on Jan 6, 2017 10:36:21 GMT -5
At least inflation in Colombia ended up being below 6% as it was higher earlier in the year.
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Post by ozgringo on Jan 6, 2017 14:16:48 GMT -5
Technically the Bank of the Republic should raise interest rates to try and curb inflation. They, the board members were split at the last meeting. All of it is a moot point really as the USA will continue to raise in 2017 thereby incresing Colombia external debt costs.
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Post by makopp5 on Jan 6, 2017 15:53:14 GMT -5
Technically the Bank of the Republic should raise interest rates to try and curb inflation. They, the board members were split at the last meeting. All of it is a moot point really as the USA will continue to raise in 2017 thereby incresing Colombia external debt costs. The Banca de la Republica has done this all the time last year, now they start to lowering.
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Post by coolcoil on Jan 6, 2017 17:09:17 GMT -5
At least inflation in Colombia ended up being below 6% as it was higher earlier in the 7. I wonder if some of that was driven by a tradition of raising prices on the first of the year. I know when we were building our house, our builder made a push to get a lot of materials purchased before the end of December because he claimed all the prices go up at the start of the new year. Of course, all businesses paying the minimum see a jump in costs on January 1. This year we have the IVA increase too. I saw it for myself this year when I went to Exito and my go-to favorite, Popsy Ice Cream jumped from $24K to $27K, and the coffee I buy increased from $7,500 to $8750. But the good news is that Ron Medellin 12 Years stayed at $51K. Also, I'd imagine the return of rain helped food prices a lot toward the end of the year.
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