SANTIAGO (AP) – Prices in Chile fell 0.1% in February, for the first time in 27 months, due to lower prices for air transport, fuel and certain foods, which placed the annual inflation at 11.9%
Chile ended 2022 with inflation of 12.8%, the highest in 30 years, and with 7.2% in 2021, the year in which an upward wave was triggered after millions of Chileans withdrew more than 51 billion dollars from its pension funds which were added to the 35,000 million in aid to deal with the pandemic, which led to excess liquidity in the market.
The slight drop in prices added to the 0.4% growth in economic activity in January compared to the same month last year after four months of consecutive declines.
The cost of living is expected to rise in March, particularly due to education spending.
Real wages in Chile, adjusted for inflation, have fallen for 15 consecutive months and closed 2022 with a drop of 1.7%, due to the loss of purchasing power, according to figures from the National Institute. statistics.