Colombia’s inflation rate rose more than predicted in August, ending a period of 22 months below targeted inflation range.
According to Colombia’s Central Bank, overall consumer prices have increased more than 3% compared to August 2013. Prices were up 0.2% from the previous month, which is more than experts predicted, reported Bloomberg News Monday.
Housing costs and food prices experienced some of the biggest surges, growing respectively 3.63% and 3.47% compared to the same month the year before.
The Central Bank targets a 3% annual inflation rate, which has been below the favored percentage for almost two years.
In late August, the Central Bank increased the interest rate by 0.25% for the fifth time in five months in an attempt to control inflation after the economy expanded at the fastest pace in two years.
During the first quarter of 2014 the Colombian economy grew 6.4%, and the yearly growth is expected to end at 5%.
- Índice de precios al consumidor (IPC) (Central Bank of Colombia)
- Colombian Inflation Rate Accelerates to Fastest Pace Since 2012 (Bloomberg)