Domestic inflation will rise 5,64 % this year: survey – The Colombian

at 5,99 % to 5,64 % fell in the average expectation of growth of inflation for 2016 in the survey monthly that makes Reuters and published yesterday.

After talking to 13 analysts, the news agency pointed out that only in November respondents expect the Consumer Price Index (CPI), with the Dane measures the inflation, decrease by 0.12 %, compared with the increase of 0.6 % that had in the same month of 2015.

"however, expectations of increased prices for the close of 2017 rose to 4,12 %, compared with 4 % that registered the query in the last month," concludes Reuters.

This survey yields data similar to the latest Monthly Survey of Economic Expectations, which made the Bank of the Republic, published a week ago. There the 43 analysts consulted expect that the year closed with a rise of the annual inflation rate of 5,69 % and that in November, up 0,14 %. When it asks you for the projection of inflation without food, gives an average variation of 5.13 % for 2016 and from 0.18 % in November.

In any case, both projections exceed the ceiling of the target range set by the Issuer (2 % to 4 %) and it would be the second consecutive year by out-of-this. In fact, the same Bank manager, José Darío Uribe, said recently that it expected inflation this year of less than 6 % and for 2017 is below 4 %, within the range.

But the survey of Reuters produced an average increase expected in the CPI for 2017 of 4.12 %, up from 4% recorded by the survey last month. Also the Survey of the Issuer presents a rate higher than the ceiling of the target range: to 4.18 %.

On the other hand, Reuters also asked about the growth of the economy, measured as expansion of the gross domestic product (GDP).

While the official data from the Dane for the third quarter are due out next Friday, the poll of the news agency confirms the slowdown of the national economy, the expectation average is a growth of only 1.5 %, less than half the 3.2 percent that grew the GDP between July and September of 2015.

Finally, the respondents agree that the rate of interest intervention of the Bank of the Republic will remain at 7.75 percent, both in the meeting of the board of the Issuer on the next Friday as of 16 December.