The International Monetary Fund (IMF) has predicted that Peru will register the lowest inflation rate in the region this and next year, at 3.1 and 2.4 percent respectively.
Inflation is forecast to recede from 6.3/4 percent in 2011 to 6 percent in 2012 as activity moderates and commodity prices stabilize, although with considerable intra-regional differences.
According to the IMF, Chile, Colombia, Ecuador and Brazil will post 2011 inflation rates of 3.1, 3.3, 4.4, 6.6 percent, respectively.
In the inflation-targeting countries (Brazil, Chile, Colombia, Mexico, Peru, Uruguay), it is projected to stay within the target range during 2011, but near or above the upper bound (Brazil, Peru, Uruguay).
In other economies, such as Argentina and Venezuela, inflation is projected to remain in double digits, reflecting expansionary policies.
Uruguay, Paraguay, Bolivia, Argentina and Venezuela will have inflation rates of 7.7, 8.7, 9.8, 11.5 and 25.8 percent, respectively.
By 2012, inflation in Chile, Colombia, Ecuador and Brazil is expected to reach 3.1, 2.9, 4.9 and 5.2 percent, in each case.
For their part, Uruguay, Paraguay, Bolivia, Argentina and Venezuela will post inflation rates of 6.5, 7.8, 4.8, 11.8 and 24.2 percent respectively next year. (Andina)
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