Inflation in Colombia: this has been the drop in the figure in 18 of the last 19 months

Inflation in Colombia continues to slow and stood at 5.41% in Octobera figure that is close to the issuer’s goal for the end of the year and represents around five percentage points less than what was recorded in the same month in 2023the statistical authority reported on Friday.

(Read here: Inflation in Colombia closed October at 5.41% in its annual variation)

The annual inflation recorded in October was “well below the 10.48% that we were reporting in the annual variation of 2023” The director of the National Administrative Department of Statistics (Dane), Piedad Urdinola, said on Friday.

Gustavo Petro’s government hopes that the figure will be close to 5.3% at the end of 2024.

According to Dane’s calculation, the largest annual variations were recorded in the areas of education (10.65%), restaurants and hotels (8.93), and accommodation and basic services (8.07%).

“Inflation continues to fall” in the fourth largest Latin American economy, The Bank of the Republic stated in its monthly report on Tuesday, November 5. But this continues above the 3% goal set by the issuer for the end of the year.

(See here: ETFs, investments that are booming in Colombia: why?)

“The behavior of inflation and its expectations has allowed the interest rate to continue lowering,” which after its last modification in October were reduced by 50 basis points and stood at 9.75%, the report added.

Inflation completed 18 months of falling

Colombia’s inflation has gradually slowed since March 2023, when it reached 13.34%, the highest variation since the economic crisis that the country experienced in 1999.

Since the fourth month of last year, inflation has not stopped falling (except for a small non-representative increase in June 2024) and its annual variations, month by month, have been:

– April (2023): 12.82%.

– May (2023): 12.36%.

– June (2023): 12.13%.

– July (2023): 11.78%.

– August (2023): 11.43%.

– September (2023): 10.98%.

– October (2023): 10.48%

– November (2023): 10.15%

– December (2023): 9.28%.

– January (2024): 8.35%.

-February (2024): 7.74%.

– March (2024): 7.36%.

– April (2024): 7.16%.

– May (2024): 7.16%.

– June (2024): 7.18%

– July (2024): 6.86%.

– August (2024): 6.12%.

– September (2024): 5.81%.

– October (2024): 5.41%.

The Bank of the Republic also highlighted a reduction in unemployment, which in September recorded a modest reduction of 0.4 percentage points to 9.2%, according to the latest urban unemployment index measured in the 13 main cities. of the country.

AFP and PORTFOLIO