RIO DE JANEIRO, BRAZIL – Official inflation as measured by the Broad National Consumer Price Index (IPCA) stood at 0.11 percent in August this year. The rate is lower than the 0.19 percent recorded in July but higher than the deflation (price drop) of 0.09 percent in August last year.
According to data released today, September 6th, by the Brazilian Institute of Geography and Statistics (IBGE), the IPCA shows cumulative inflation rates of 2.54 percent for the year and 3.43 percent in 12 months.
The fall in the rate from July to August was driven mainly by deflation in expenses for food (-0.35%) and transportation (-0.39%), in August. Among foods, the main drops in prices were seen in tomatoes (-24.49%), potatoes (-9.11%), vegetables (-6.53%), and meat (-0.75%).
In transportation, there were drops in prices of air tickets (-15.66%), gasoline (-0.45%), and diesel (-0.76%).
Another group that registered deflation was health and personal care (-0.03%). On the other hand, the main price increases were registered in housing (1.19%), household goods (0.56%), and personal expenses (0.31%).