Inflation rate in Panama rose 0.9% last January compared to the previous month, putting the year-on-year variation at 2.7%, according to data from the National Institute of Statistics and Census (INEC), which detailed that the price of electricity drove the price index.
The biggest increases in the consumer price index (CPI) at the year-on-year level, housing, water, electricity and gas were registered in the groups with 11.6%; food and soft drinks (5.3%); restaurants and hotels (4.6%); alcoholic beverages and tobacco (3.6%); and education (3.2%), among others.
On the other hand, the groups that recorded a decrease in the year-on-year CPI are health (-2.6%), clothing and footwear (-0.6%), recreation and culture, and communications, both by -0.4%.
As for behavior CPI in January compared to the previous month, groups that showed an increase are housing, water, electricity and gas (9.5%); transportation (0.6%); education (0.5%); restaurants and hotels (0.4%); food and non-alcoholic beverages and alcoholic beverages and tobacco, both at 0.3 percent, among others.
He INEC it is detailed that “the cancellation of the extraordinary electricity price subsidy due to the impact of the covid-19 pandemic” triggered the CPI in the electricity class by 39.6%, one of the 8 that make up the housing, water, electricity and gas group.
Until last December, a special subsidy for electricity was in force, which, according to official data, was available to 92 percent of users of distribution companies.
On the contrary, the Government has again extended until next April 1 the fuel subsidy that is in effect from July 18, 2022, according to which a gallon (3.78 liters) of gasoline and diesel of 91 and 95 octane is sold for 3, 25 dollars.
This decision “it seeks to continue to promote economic growth in sectors such as agriculture, animal husbandry, processing industry, fishing, construction, trade, industry, tourism, among others, with the creation of jobs, in order for the country to progress and guarantee that inflation in Panama will remain among the lowest in the world,” the government said. extending the fuel subsidy on 14. February.
Inflation in Panama closed 2022 with an annual variation of 2.1% and accumulated between January and December of 2.9%, according to official statistics, with the group of food and non-alcoholic beverages leading the rise in prices. with an interannual variation of 5.2%.
In 2021, inflation in Panama closed with an annual variation of 2.6% and accumulated between January and December of that year of 1.6%, rates that contrast with a variation of -1.6% in 2020, a year of almost complete economic paralysis due to the pandemic, -0.4% accumulated between January and December 2019 and 0.8% in 2018, according to official data.
Source: Panama America
I am Jason Root, author with 24 Instant News. I specialize in the Economy section, and have been writing for this sector for the past three years. My work focuses on the latest economic developments around the world and how these developments impact businesses and people’s lives. I also write about current trends in economics, business strategies and investments.
