The indicator rose affected by rising prices in products such as cigarettes, gasoline, and tortillas, Inegi reported.
Mexico. At the end of January, the National Consumer Price Index (INPC) increased 0.48 percent, which led to the annual inflation rate reaching 3.24 percent, its highest level in six months, affected due to higher prices on products such as cigarettes, Magna gasoline, and corn tortillas, the National Institute of Statistics and Geography (Inegi) reported.
Among the products that rose most in price in January are: tomato (18.53%), cigarettes (8.76%), green tomato (30.59%), Magna type gasoline (0.64%), zucchini (39.63%), urban bus (2.39 %) and corn tortilla (1.21%). In contrast, air transport, packaged tourist services, LP gas, chicken, lemon and egg, among others, fell in price.
Inflation had closed 2019 at 2.83 percent, the lowest since August 2016, according to Inegi figures.
During the first month of 2020, the underlying price index, which discards goods and services with volatile prices, such as agriculture and energy, rose 0.33 percent monthly and 3.37 percent annually. Inside, merchandise prices rose 0.66 percent and services prices fell 0.04 percent, compared to December.
What is inflation?
Banco de México explains that inflation is a phenomenon that is observed in the economy of a country, related to the disorderly increase in the prices of most of the goods and services that are traded in its markets, for a prolonged period.
“When there is inflation in an economy, it is very difficult to distribute our income, plan a trip, pay our debts or invest in something profitable, since prices, which were a reference to allocate our money in the best possible way, are distorted” , indicates.
On the other hand, the non-underlying price index recorded an increase of 0.96 percent per month in January, as well as an annual increase of 1.81 percent. Inside, the prices of agricultural products rose 1.83 percent and those of energy and tariffs authorized by the government 0.34 percent monthly.
The Mazatlan Post