Uruguays economy achieved a significant milestone in 2024.
The countrys inflation rate settled at 5.49%, marking the second consecutive year within the official target range.
This range, set by the Central Bank of Uruguay (BCU), spans from 3% to 6%.
The National Statistics Institute (INE) released this data on Friday.The Consumer Price Index (CPI) showed a slight increase compared to 2023.
Last years inflation rate was 5.11%, the lowest in 18 years.
However, 2024s figure remained well below the 8.29% recorded in 2022.
This trend indicates a stable economic environment in Uruguay.December 2024 saw a monthly CPI rise of 0.34%.
Key drivers were recreation, sports, and culture at 3.07%, restaurants and accommodation at 1.03%, and transport at 0.82%.
These figures reflect normal economic activity without excessive price hikes.Uruguays Inflation Hits 5.49% in 2024, Stays Within Target Range Punta del Este.
(Photo Internet reproduction)Analysts had predicted a 5.37% inflation rate for 2024.
Their forecast for December was a 0.2% monthly increase.
The actual results closely matched these projections, suggesting accurate economic assessments.Since mid-2023, Uruguay has experienced its lowest inflation levels since 2005.
This achievement stands out as a major economic success for President Luis Lacalle Pous administration.
It demonstrates effective monetary policy management.Uruguays Inflation Hits 5.49% in 2024, Stays Within Target RangeThe BCU raised the Monetary Policy Rate by 25 basis points to 8.75% in late December.
This move aims to guide inflation and expectations towards 4.5% annually within two years.
It shows the central banks commitment to maintaining economic stability.Uruguays economic performance reflects a balanced approach.
The government has managed to control inflation without resorting to heavy-handed interventions.
This strategy aligns with principles of economic freedom and responsible fiscal management.