Daily Archives: November 1, 2013

Higher inflation in those South American countries under “socialism”… surprised?

Hilton Heredia reports for El Deber:

ECONOMY

Venezuela, Bolivia and Uruguay, with higher regional inflation

Venezuela reached a food inflation of 4.9%, Bolivia Uruguay 2.2% and 3.9%. The chicken has incidence

2013-10-29 07.42.01 am

Venezuela, Bolivia and Uruguay are the countries with higher levels of food inflation in the region during September [2013]. The first country reached 4.9%, followed by Bolivia with 3.9 percent and Uruguay with 2.2%, according to the monthly report of prices released yesterday of the United Nations Organization for Food and Agriculture (FAO) reveals.

Foods that had influence with the largest proportion in the inflation rates are chicken, tomato and potato.

Chicken is the most mentioned food as with the higher incidence with positive levels of prices of Latin America and the Caribbean.

In contrast, the potato and the avocado, negatively impacted. Tomato showed a heterogeneous performance.

In Bolivia, Chile and Dominican Republic the price of chicken rose 6.8%, 2.9% and 3.1%, respectively.

In the case of tomato, its price increased sharply in Bolivia (27.1%), Guatemala (16.4%), Mexico (10.3%) and Uruguay (13.8%).

However, it declined considerably in Colombia, Costa Rica, Nicaragua and Dominican Republic.

An evolution similar to the tomato was observed in the prices of potatoes and onions. In Bolivia the potato recorded significant increases (22.8%).

Government silence

[Bolivia’s] Economy Minister Luis Arce, said on Sunday that inflation this year will not surpass 8% and guaranteed that it will continue to apply measures that contribute to that prices do not report increases affecting citizenship.

Yesterday, questionnaires to that State Ministry, in addition to the Ministry of Planning of the development portfolio were sent, but there was no response.

Despite this situation the Government ensures that the growth will exceed 6.6%, i.e. 1.4% more that the previous year, which placed the country as the second economy in the region.

They predict problems

Carlos Schlink and Armando Méndez, economists, projected that the inflation may exceed 8% until December, this in spite of the anti-inflation measures.

The figure

5.56% Accumulated inflation

Between January and September of 2013, reached 5.56%. In September, the CPI increased by 1.36%, according to data from the INE.

http://www.eldeber.com.bo/nota.php?id=131029000923