Inflation rose to 33.9% in August, after 31.7% in July. The August result was the highest inflation rate in 21 years. In August, inflation in imported goods exceeded domestic inflation for the fifth consecutive month, reflecting higher global commodity prices and currency depreciation. Looking at the release details, the acceleration was driven by food and beverage prices, which rose at a faster rate in August than other commodities. Furthermore, transportation prices as well as clothing and footwear have risen at a faster rate.
The trend was up, with inflation over the past 12 months averaging 20.5% in August (July: 18.4%). Finally, consumer prices rose by a seasonally adjusted 1.91% in August from the previous month, lower than July’s 3.15% rise. The August result was the weakest reading since December 2021 but remained high by historical standards.
Committee members see inflation at 26.1% in 2022, 1.3 percentage points higher than last month’s forecast, and 20.2% in 2023.