The annual inflation rate in El Salvador fell to 0.53 percent in June 2019 from 0.8 percent in the previous month. Cost of housing & utilities declined (-0.31 percent vs 0.76 percent in May); and prices decreased further for transport (-1.85 percent vs -0.51 percent); clothing & footwear (-1.12 percent vs -1.10 percent); furnishings (-0.99 percent vs -0.69 percent) and communication (-1.13 percent vs -0.87 percent). Additionally, cost eased for restaurants & hotels (1.2 percent vs 1.38 percent); and recreation & culture (0.08 percent vs 1.13 percent). On the other hand, prices rose at a faster pace for food & non-alcoholic beverages (2.81 percent vs 2.34 percent); miscellaneous goods & services (0.19 percent vs 0.10 percent); and health (0.44 percent vs 0.22 percent). On a monthly basis, consumer prices went down 0.14 percent, after increasing 0.12 percent in the prior month. Inflation Rate in El Salvador averaged 3.23 percent from 1994 until 2019, reaching an all time high of 12.20 percent in January of 1996 and a record low of -2.25 percent in September of 2015.
Inflation Rate in El Salvador is expected to be 1.20 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in El Salvador to stand at 2.10 in 12 months time. In the long-term, the El Salvador Inflation Rate is projected to trend around 2.30 percent in 2020, according to our econometric models.