Brazil Inflation Rate At 12-Year High


Consumer prices in Brazil rose 8.13 percent year-on-year in March of 2015, up from 7.7 percent in February, as energy cost surged after the government introduced higher taxes and fees. It is the highest rate since December of 2003 when it reached 9.3 percent.

Year-on-year, energy cost surged 60.42 percent on average, though there were a big differences among regions. For example in Curitiba prices rose by 78.4 percent, in Porto Alegre by 77.7 percent, in São Paulo by 72.74 percent, and in Rio de Janeiro by 48.07 percent. Additional upward pressure came from food prices which rose 8.19 percent.

On a monthly basis, the inflation rate increased to 1.32 percent from 1.22 percent in February, touching the highest since February of 2003. Cost of housing  and utilites rose the most (5.29 percent) due to a 22.08 percent surge in electricity prices. Food cost increased 3.5 percent, mainly due to higher prices of onion (15.1 percent) and eggs (12.75 percent).  In addition, gasoline prices went up 1.26 percent and cost of public bus rose 0.85 percent.

Brazil Inflation Rate At 12-Year High


Joana Taborda | joana.taborda@tradingeconomics.com
4/8/2015 5:07:19 PM