Inflation skyrockets: CPI reaches 0.4% in February, rising 8.1% over the last 12 months

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SANTIAGO. -  The Consumer Price Index (CPI) registered a 0.4% increase in February, falling far above market estimates.

According to the National Statistics Institute (INE), the most significant price increases correspond to Housing (1.6%) and Foodstuffs (1.3%) (the highest jump registered in this category for February since 1997).

Inflation for February 2008 is at its highest rate for the month since 2003, bringing the increase in inflation over the last 12 months to 8.1%.

Meanwhile, drops in prices were observed in: Education and Recreation (-0.2%), Clothing (-0.3%) and Transportation (-1.9%).

Market estimates had predicted a possible rise in February’s CPI of between 0.1% and 0.2%, placing the yearly inflation rate at 7.8%.

For this year, the organization has predicted an inflation rate of 4.5%.