Venezuela is a leader in inflation
Sunday, April 11, 2010
Maria Ramirez Cabello
mramirez@correodelcaroni.com
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Inflation further affects the pocketbooks of lower-income strata of Venezuela in the first place. Although many expect it to be in sports, cultural or economic development, the highest since the country in recent years comes down to higher prices.

In March, the National Index of Consumer Price registered a variation of 2.4%, far greater than that experienced by the rest of the countries of Latin America.

With the exception of Venezuela, countries with the greatest variation in prices in South America were Paraguay and Uruguay, with inflation of 0.9% and 0.95% respectively.

The low inflation Chile experienced a price growth of 0.1%. It was followed in ascending order: Bolivia (0.12%), Ecuador (0.16%), Costa Rica (0.24%), Colombia (0.25%), Peru (0.28%), Brazil (0 , 52%) and Mexico (0.71%).

The spiral causes inflation in Venezuela, in many cases more attractive to import than to produce domestically, according to the statement by economic analysts.

The president of the National Statistics Institute (INE), Elias Eljuri, said recently that inflation will begin to stabilize in April, once consolidation is completed the adjustment of food prices during the month of March and April of this year .

"Starting a greater stability in prices and look forward to an index that truly allow the values of all foods, which are so important that weight may be maintained in numbers that can be accessible to people," the owner of the INE.

Rising Basket
For the month of March, the food basket jumped 10.7% according to the report by the Center for Documentation and Social Analysis of the Venezuelan Federation of Teachers (Cendas-FVM).

With this variation, the basket was accelerated 10.7% compared to February 2010 and was located in Bs.F. 2288.22.

The annual variation in the cost of food basket for the period March 2010/marzo 2009 is 36.9%, or 616.74 VEB, which represents 58% of a minimum wage.

According to the BCV, the third month of the year, the category of food and nonalcoholic beverages rose 3.5%, the highest variation of the last 15 months, since December 2008. For this category, the annual variation is located at 22.9%.

In Maracaibo food surged 5.8%, being the area with the largest increase in this category throughout the country.