- Consumer prices rose 5.1% on the month in May: central bank
- Communications and health care posted biggest monthly gains
Fabiola Zerpa, Bloomberg
EnergiesNet.com 06 20 2023
Venezuela’s inflation sped up in May, snapping a three-month slowdown despite signs of economic weakness and declines in activity.
Consumer prices rose 5.1% in May, according to data from the central bank released on Monday. Communications costs rose 13.1% on the month while health costs gained 7.5%, representing the biggest increases in the index.
Venezuela’s economy has slowed in recent months as the government cracks down on rampant corruption within its oil industry, its biggest source of foreign revenue. Activity picked up last year following a near 80% contraction after President Nicolas Maduro loosened long-held controls on foreign exchange and prices, allowing the US dollar to freely trade in the country.
In the past, Maduro’s government has resorted to money printing to make up for lackluster economic growth, fueling inflation and further debilitating its currency.
Monthly inflation stood at 42.1% in January, 19.3% in February, 6.1% in March and 3.8% in April, according to central bank data.
The central bank’s May inflation reading compares to 7.6% as calculated by the opposition-led Finance Observatory research group, up from 2.5% in April.
bloomberg.com 06 09 2023