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CONTINUE TO DECREASE INFLATION IN VENEZUELA

by | Jan 14, 2020 | Training

The inflation figures reported by the AN continue to decrease with the stability of the exchange rate and the banking reserve. Ecuador partially repeals the measures after days of protests and damages nationwide.

VENEZUELA

Price growth slows again during the month of September and reaches 23.5% in September compared to 65.2% in the previous month and 233.3% in September last year, according to the CPI figures reported by the Finance Commission of the National Assembly.
With this monthly variation, the estimate of the accumulated inflation during the year will be 3,326% while the inflation of the last 12 months would reach close to 50,000%. This is a decrease in the rate of annualized inflation that was registered until last month of 132,000% and marks a continuing tendency to reduce the inflationary rate. As a reference, annualized inflation peaked in the series in January when it accumulated more than 2.5MM% in the previous twelve months. According to Alfonso Marquina, this lower price variation was due to the stability of the exchange rate and the liquidity restriction caused by the increase in the legal reserve of banks in the BCV …

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