By Nelson Bocanegra
BOGOTA (Reuters) – Colombia’s 12-month inflation is forecast to proceed decelerating in September, regardless of the impression of a truckers’ strike, in keeping with a Reuters ballot on Wednesday, whereas expectations for this yr stay steady.
In keeping with the median forecast from 20 analysts, Colombia’s 12-month inflation will attain 5.83% via September, decrease than the 6.12% reported via the top of August, however nonetheless approach above the central financial institution’s long-term goal of three%.
If the median forecast is met, shopper costs will rise 0.26% in September, just like the 0.25% in the identical month final yr, however larger than the 0% registered in August.
Analysts’ estimates ranged from 0.17% to 0.38%.
In September “the education sector is reactivated by the school calendar, while we expect to see moderate inflation in the rest of the sectors,” mentioned Jackeline Pirajan, Scotiabank’s chief economist for Colombia.
She added the impact of the nationwide strike on meals costs was seen on the beguiling of the month however “is fading quickly.”
The South American nation confronted a four-day truckers’ strike throughout the first week of September in protest of a rise in diesel costs, inflicting meals and gasoline shortages in main cities.
The numerous inflation slowdown has been the principle purpose behind the central financial institution board’s discount of its rate of interest by 275 foundation factors since its downward cycle started in December 2023.
On Monday, the financial authority lower the speed by 50 foundation factors to 10.25%, in a divided vote the place three of the seven board members requested a discount of 75 foundation factors. The remaining 4 had been inclined to stay extra cautious to be able to management inflation.
These polled now anticipate inflation to finish this yr at 5.6%, nearly unchanged from the 5.61% projected final month, whereas expectations for the top of 2025 slowed to three.70%, down from 3.75% within the earlier survey.
