Guatemala: Inflation comes in at highest level since December 2008 in August
September 8, 2022
Consumer prices rose 0.68% in August over the previous month, below the 1.08% rise seen in July. August's result marked the weakest reading since April and was driven by weaker price increased for food and non-alcoholic beverages and clothing and footwear. On the other hand, price growth for housing, electricity, water and fuels accelerates.
Inflation, meanwhile, increased to 8.9% in August, following July’s 8.4%. August's reading represented the highest inflation rate since December 2008. The trend pointed up, with annual average inflation coming in at 4.8% in August (July: 4.4%).
Analysts at the EIU added:
“Global inflationary pressures will remain strong, and inflation is likely to prove "sticky" and well above the historical average throughout 2023. […] As Guatemala is a net importer of oil and other fuels, domestic transport costs are likely to remain elevated, with spillover effects on core inflation (which excludes food and energy prices). Inflation could be even higher in the event of adverse weather conditions.”