MercoPress. South Atlantic News Agency

Uruguay inflation up 0.74% in January and 8.05% in the last twelve months

January is the top tourism month with a huge inflow of visitors

Uruguay's inflation rate rose in January 0.74% from December as housing, hotel and restaurant prices jumped, the national statistics agency, INE, reported this week. The consumer price index rose 8.05% on the year at the end of January, INE said.

In December, the Central Bank of Uruguay said inflation had become the “main worry in the balance of risks”. The central bank's target range for inflation is 4% to 6%.

In January, food and nonalcoholic beverage prices, which sometimes have the biggest impact on the CPI, rose 0.46% from the previous month. Meat was up 0.77%; fresh fruit, 1.29% but fresh vegetables dropped 1.49%.

January is Uruguay's top tourism month, during which the country sees a huge inflow of visitors from Argentina and Brazil. Real-estate rentals, hotel and food prices usually surge in the month.

Housing prices were up 2.7% on the month in January while restaurant and hotel prices jumped 1.22% from December. Health-care costs rose 1.44%, while transportation costs fell about 1% and clothing and shoe wear, 0.88%, according to the data.