Brazil's IPCA-15 Rises 0.34% in December, Annual Rate Hits 4.71% Exceeding 4.5% Target

Dec 27, 2024, 12:15 PM

Brazil's IPCA-15, a key indicator of inflation, rose by 0.34% in December, a slowdown from the 0.62% increase recorded in November, according to data released by the Brazilian Institute of Geography and Statistics (IBGE). For the full year of 2024, the IPCA-15 accumulated an increase of 4.71%, surpassing the central bank's inflation target ceiling of 4.5%. The December figure was below market expectations, which had forecasted a rise of 0.45%. The IPCA-15's annual rate of 4.71% for 2024 was slightly lower than the 4.72% recorded in 2023. The slowdown in December was influenced by various factors, including a significant 1.32% drop in the housing group, which contributed negatively to the index. Conversely, the food and beverages group saw the highest increase, rising by 1.47% and contributing 0.32 percentage points to the monthly index.