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Costa Rica Inflation September 2019

Costa Rica: Inflation slows in September

Consumer prices fell 0.1% in September compared to the previous month, matching August’s decrease, which was partly due to the continued high-base effect stemming from the introduction of VAT in July, which replaced the old sales tax. In terms of CPI basket categories, September’s decrease was driven by lower prices for clothing and shoes.

Inflation moderated to 2.5% in September, down from August’s 2.9% reading but remaining within the Central Bank’s 2.0%–4.0% target range. Annual average inflation was unchanged at 2.2% in September.

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