Paraguay’s inflation rate increased to 4.3% in February 2025 from 3.8% in January, marking the highest rate since August 2024, driven primarily by rising costs in housing, food, and other essential services. Consumer prices rose monthly by 0.4%.
In February 2025, Paraguay experienced an annual inflation rate of 4.3%, an increase from 3.8% the previous month. This rate represents the highest inflation observed since August 2024. Notable factors contributing to this rise included increases in costs related to housing and utilities, which rose to 2.16% from 2.08% in January, and food and non-alcoholic beverages, which saw a jump from 4.37% to 4.90%.
Other significant contributors to the inflation rate included recreation and culture, which increased to 5.96% from 5.45%, education rising to 4.70% compared to 3.88%, and the restaurant and hotel sector climbing to 5.26% from 4.82%. Additionally, furniture prices rose to 3.15% from 2.99%, while transportation costs surged to 5.49% from 3.60%. On the other hand, the health sector experienced a slower increase of 2.65%, down from 3.05%, and clothing and footwear prices remained stable at 2.26% compared to 2.27%.
In terms of monthly changes, consumer prices in Paraguay rose by 0.4% in February, following a more substantial increase of 1% in January. This trend indicates a moderating yet concerning picture of inflation in the country.
In summary, Paraguay has observed a significant rise in its inflation rate, with major contributors being housing, food, and various service sectors. Despite some prices stabilizing, the overall trend indicates a continuing challenge for the economy as consumer prices elevate.
Original Source: www.tradingview.com
