Inflation in Guatemala closed 2022 at 9.24% and in the province reached double digits

Inflation means that on average consumer prices rose 9.24% in 2022, reported the National Institute of Statistics (INE) in the CPI report for December of last year.

As a macroeconomic indicator, the CPI is used to measure the behavior of the general level of prices in the country’s economy, based on the prices observed in the reference month.

The most important inflation levels for December 2022 are as follows: monthly inflation of 0.23%, year-on-year inflation rate of 9.24%, and accumulated inflation of 9.24%.

According to the INE, the inflationary rhythm as of December 2022 (9.24%), is the highest of those observed in the months of December of the 2015-2021 period, and is 5.44 above the average (3.80) of the mentioned period.

At the regional level, the inflationary rhythm of II (11.90%) and IV (10.47%), registered the highest increases in the general level of prices, surpassing that reached at the republic level (9.24%).

PRODUCTS THAT PUSHED THE RISE

Among the basic expenses that reflected a positive variation are: all-inclusive travel services outside the country: 12.07%; corn: 11.89%, and air transport service: 7.05%.

The negative variations were: diesel -10.83%, onion -8.34%, regular gasoline -7.56%.

The inflationary rhythm by division of expenditure in the month of December 2022 highlights the behavior of transportation, food, and restaurants, which registered the main positive variations with 16.95%, 11.76%, and 9.91%, respectively.

For its part, the communications division is the only one that presents a negative variation with -0.36%.

BASKET PRICES IN GUATEMALA

The Basic Food Basket (CBA) is defined as a set of foods that constitute a minimum necessary to satisfy the energy and protein needs of a family and that adjust, as far as possible, to the cultural pattern, purchasing power, as well as the availability and prices of food at the local level.

The CBA contains 34 products and quantifies the grams suggested for a household of 4.77 members that cover the energy requirement of 2,262 calories.

In its formulation, the CBA follows the spending methodology that observes actual consumption patterns, that is, it is not a basket for regulatory purposes, as would happen if it were for dietary purposes.

Due to the above, the acquisition cost of the Basic Food Basket (CBA) in December 2022 was Q.3,634.18, about US$463.59; in November, a household needed Q.3,618.58, about US$ 461.51 to cover their needs.

In the case of the Expanded Basket (CA), it is defined as the set of goods and services that satisfy the expanded needs of the members of a household and according to the data declared by the households, it includes food, alcoholic beverages, clothing, housing, furniture, health, communications, transportation, recreation and culture, education, restaurants and hotels, various goods and services.

The acquisition cost of the Expanded Basket (CA) in December 2022 was Q.8,391.09, about US$1,070.44, and last November the families needed Q.8,355.07, about US$1,065.85.

With information from Bloomberg