Paraguay’s Inflation Rate Surges to 4.3% in February 2025

Paraguay’s inflation rate accelerated to 4.3% in February 2025, up from 3.8% in January. Major increases were observed in housing, food, recreation, and other sectors, although health costs rose more slowly. The monthly consumer price increase was 0.4%, following a 1% rise in January.

In February 2025, Paraguay experienced an uptick in its annual inflation rate, which reached 4.3%, an increase from 3.8% in January. This represents the highest inflation rate recorded since August 2024. Notable contributors to this increase included enhancements in housing and utilities along with food and non-alcoholic beverages, among other sectors.

The specific sectors showing increased prices were as follows: housing and utilities rose to 2.16% compared to 2.08% in January, while food and non-alcoholic beverages experienced an increase to 4.90% from 4.37%. Other noteworthy sectors include recreation and culture at 5.96% (up from 5.45%), education at 4.70% (up from 3.88%), and restaurants and hotels at 5.26% (up from 4.82%). Additionally, furniture prices rose to 3.15% from 2.99%, and transportation escalated to 5.49% from 3.60%.

Conversely, there were some areas where costs increased at a more measured pace. The health sector saw an increase of 2.65% down from 3.05%, while clothing and footwear prices remained steady at 2.26% compared to 2.27%. On a monthly basis, consumer prices in Paraguay rose by 0.4% in February, a decrease from the 1% increase noted in the previous month.

The inflation rate in Paraguay rose to 4.3% in February 2025, signaling a significant increase from the prior month. This rise was primarily driven by price increases across various sectors, notably housing, food, and transportation. However, some categories experienced slower growth, reflecting varied economic conditions. The slight decrease in monthly consumer price increases further underscores changing economic dynamics.

Original Source: www.tradingview.com