INEI: annual inflation in Lima was 8.40% in March

In the third month of 2023, inflation in Metropolitan Lima rebounded to 1.25%, after rising by 0.23% and 0.29% in January and February, respectively. As reported by the National Institute of Statistics and Informatics (INEI), inflation in the first quarter of the year accumulated a rise of 1.78%.

With the result for March, inflation, in annualized terms (last 12 months), was 8.40%. The monthly rise in March is the result of the lagged effect of the protests that occurred with greater force at the beginning of the year plus the consequences of weather anomalies, says Juan Carlo Odar, director of Phase Consultores. In the economist’s opinion, this meant that products such as eggs, chicken and food from the north are among those that have risen the most. “This is due to the difficulties that occurred in transportation,” comment.

Indeed, the INEI reported that among the products with the highest incidence in the Consumer Price Index (CPI) is eviscerated chicken, which became 16% more expensive; followed by chicken eggs, which increased by 14.07% (see infographic). Among foods, the rise in strawberry (51.8%), lemon (18.4%), mango (17.1%) and silk banana (12.7%) also stood out.

On the other hand, an advance of 4.79% was recorded in the education division due to the rise in school and university fees by 10.26% and 2.38%, respectively. “It’s a seasonal factor,” emphasizes Odar.

Downward trend

At the national level, inflation reached 8.67% annually, and corrections were registered in cities such as Puerto Maldonado, where it fell -5.67% in March. However, 12 cities still showed figures above the national average. According to Odar, in the coming months, inflation will continue its downward trend, “although with possible ups and downs.”