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January inflation forecast is the lowest since 1995

published: Jan 23, 2019 06:01 PM, last modified: Jan 24, 2019 05:21 PM
Transportation prices were the main decrease drive
January inflation forecast is the lowest since 1995

IPCA-15 is the ‘preview’ of Brazil's official inflation rate - Photo: Marcos Santos/USP Imagens

The Broad National Consumer Price Index (IPCA-15), considered a “preview” of the official inflation rate, reached 0.3% in Brazil in January (the lowest for the month since 1995) and a last-twelve-month accumulated rate of 3.77%. The numbers were released on Friday (January 23) by the Brazilian Institute of Geography and Statistics (IBGE).

According to IBGE, the lower inflation driver in the month was the transport group, which saw a 0.47% deflation due to the lower price of fuel. Gasoline (-2.73%) prices fell for the second consecutive month, causing the largest individual impact on the index (-0.12 pp).

The food group saw the strongest price gains in the month. According to the survey, household food prices accelerated 1.07% in the month, while the average cost of eating climbed 0.53%.