The inflationary rhythm in Guatemala was located at 1.57%, What meant a slowdown with respect to February when it was 1.79%, the National Statistics Institute (INE) reported Monday. However, household chiefs and housewives complain about the constant increases in the prices of the products of the basic basket.
That means that the general level of prices in the Guatemalan economy was 1.57% during the first quarter of 2025, which arises in the middle of an adverse context and scenario of the global economy and that puts down and rise risks.
Inflationary pressures derived from US fiscal policy can give a result of a disagreement of inflation expectations in the short term, which is one of the scenarios, according to a recent document.
Evolution of the indicator
The consumer price index (CPI) indicates that monthly inflation was positive at 0.10% in March, so the “variation represents an acceleration in the general price increase of 0.35 percentage points compared to the previous month that was (negative) -0.25%”.
The accumulated inflation or from January to March was 0.35%, but which is less than 0.48% in March 2024, according to the CPI. That means that it is the average price increase that Guatemalan consumers have already loaded into the prices of goods and services.
Incidence
The report presented by the INE makes an explanation of the incidents presented during March and influence the indicator.
In March, the Food Division pressed prices at 0.04%; 0.02% housing that were the largest; Meanwhile, the negative division was transport with -0.14%.
When making a breakdown of the five products that the greatest positive incidence (rise) presented in March, they were 0.02%lemons; 0.01%cane sugar; propane gas in 0.01%cylinder; Sweet bread 0.01% and Soda 0.01%.
In the monthly structure there is a relationship between cane sugar, sweet and soda bread that was reflected in the sample.
On the other, the five products that recorded negative incidence (Low) are gasoline -0.05%; Onions -0.02%; Popes -0.01%; diesel -0.01% and chicken eggs 0.01%.
The document states that there is a loss of the purchasing value of 0.02 cents to March with December 2023, so the quetzal purchasing value is equivalent to Q0.98 cents.
Region VII, which is known as northwestern that is Huehuetenango and quiché the inflation was the highest with 3.02% and the lowest was the I or Metropolitan region with 0.71%.
Food cost
The INE revealed that the basic urban food basket (CBAU) per monthly per capita was Q907.29 and for the basic rural food basket (CBAR) reached Q698.35.
With these results, the acquisition cost of the Urban Expanded Basket (CAU) per monthly per capita was Q2 thousand 196.55 and the Rural Expanded Basket (CAR) was located in Q1 thousand 374.
They interpret it
By consulting the monetary authorities on the results of the CPI, the inflationary rhythm to March 2025 of 1.57% (and from 1.79% to February), reflects an intermennsual inflation of 0.10%.
Álvaro González Ricci, president of the Bank of Guatemala (Banguat) declared that in the decline in intermennsual inflation they influenced increases in lemon prices, sugar, sweet bread, rice, banana and propane gas. These increases were moderated by the decreases recorded in onion, potatoes, chicken eggs, gasoline and diesel.
Regarding what was observed in the first quarter, he explained that it is anticipated that inflation would show increases from the third quarter of the year, due to the fading of the transitory effects that caused the casualties in agricultural products, converging around the central value of the inflation target determined by the monetary board of 4% more/less 1 percentage point.