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Economy / Paraguay

Macroeconomic Forecast Paraguay

June 2012 | Macroeconomic Forecasts

BMI View: After trending lower at the start of 2012, consumer price inflation in Paraguay rose in May, to 3.8% y-o-y from 3.3% the previous month. This is line with our forecast for prices to end-2012 at 4.5%. While we expect demand-side price pressures to be subdued as a result of weak domestic demand, the economy continues to face supply bottlenecks which we believe will boost inflation in the latter stages of the year.

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