The Chilean Consumer Price Index (CPI) rose 0.4% in July, due to the increase in the cost of food and non-alcoholic beverages, but accumulated inflation in a year to that month was 6.5% , according to official data released on Tuesday.
With the July record, somewhat higher than expected by the market, Chile accumulates 2.5% inflation so far in 2023, reported the state National Institute of Statistics (INE).
The 6.5% annual accumulated inflation is the lowest figure since October 2021, when it reached 6%. It is the fourth consecutive month that the figure has remained in single digits for the span of 12 months.
In addition to food and non-alcoholic beverages, the INE also registered an increase in the prices of recreation and culture. Meanwhile, the price of clothing and footwear fell.
In 2022, the South American country closed with inflation of 12.8%, the highest in three decades. It was marked by the effects of the massive withdrawal of money from pension funds by citizens and by the social assistance granted by the government during the covid-19 pandemic two years ago.
For this year, the Central Bank expects the rise in prices to moderate and stand at around 4.6%, close to the institution’s tolerance goal of 3%.