Latin American countries the rate of inflation surge

The international market of crude oil and grain prices rose to promote, Latin American countries of the first half of this year inflation rate rose sharply in many countries the level of inflation has exceeded the targets, inflation is becoming the Latin American economy is facing a major challenge.
Venezuela is the first half of this year the Latin American countries with the highest rate of inflation, the inflation rate reached 15.1 percent, food prices rose by imbalance between supply and demand and the impact of the country's inflation rate this year is expected to exceed 30 percent, much higher than the 19 percent target.

Followed by Nicaragua, due to soaring food and energy prices, the dual pressure of the first half of the inflation rate reached 11.76 percent, the annual inflation rate is expected to exceed last year's 16.88 percent, reaching 20 percent for the last 10 years since the The highest annual inflation rate.

Ranked third and fourth of Bolivia and the Dominican Republic, the first half of the inflation rate reached 8.85 percent and 7.57 percent. Central American countries for almost all rely on oil imports, domestic price levels by a greater impact on the international market. In addition to Nicaragua, Guatemala, Honduras, Costa Rica and El Salvador the first half of the inflation rate reached 7.5 4%, 6.8%, 6.55% and 5.94%. Latin American countries in the relatively high price increases are Ecuador and Colombia, the first half of the inflation rate was 7.09% and 6.2%. According to official statistics, this year, 1-6 month, Colombia's potatoes and rice prices were up 52.42 percent and 34.48 percent.

As imports increase in fuel prices, Uruguay and Paraguay's domestic inflation has been climbing, the first half of the inflation rate rose to 5.44 percent and 5.4 percent. Compared with other Latin American countries, Chile and Peru, the rate of inflation generally low, but inflation since the two countries this year also on the rise. Chile in June of this year's inflation rate reached 1.5 percent, a recent 17-month inflation since the highest level, the first half of the inflation rate of 4.3 percent, with the expected 4.9 percent annual goal difference of only 0.6 percentage points. The first half of Peru's inflation rate reached 3.51 percent, much higher than the 2 percent target.

The first economic power in Latin America this year, Brazil's inflation situation is not optimistic. The Government of Brazil this year's inflation target of 4.5 percent, but the first half of this year's inflation rate has reached 3.64 percent, the Brazilian economic circles who think the country this year, the inflation rate will reach 6.48 percent. Another major Latin American countries of Argentina's inflation rate seems to be still under the control of the first half of the year inflation rate of 4.6 percent, from 7.5% to 8% of annual targets some distance. The second economic power in Latin America this year, Mexico's inflation rate was the lowest in Latin America, the first half of the inflation rate 2.03 percent, the annual targets of 3%.

In addition, the International Monetary Fund recently released "World Economic Outlook" update report noted that the organization raised the Latin American economic growth is expected this year, while warning that inflation remains the Latin American economy is currently facing the biggest challenge.

The report pointed out that although the world financial market shocks and inflation plagued the first quarter of this year in Latin America better-than-expected economic performance this year, the Latin American economic growth is expected to reach 4.5 percent, than the forecast in April increased by 0.1 percentage points.

The report pointed out that Mexico's economic growth rate this year is expected to reach 2.4 percent increase over the previous forecast of 0.4 percentage points. As adjusted to take timely measures such as bank interest rates, effective control of inflation, Brazil's sound economic performance, economic growth this year is expected to reach 4.9 percent. (-)