Inflation accelerated for the eighth straight month to 20.77% in September of 2022 from 20.52% in the prior month. It was the highest reading since September of 2005, even after a recent 150 bps rate hike by the central bank, largely due to a weaker currency that raised the costs of imported products. Food inflation climbed for the seventh straight month to 23.34%, the highest since October of 2005, amid supply disruptions caused by widespread flooding and higher import costs.
Upward pressure also came from non-food products, namely transportation (18.7% vs 18.2%), of which fuels, miscellaneous goods & services (17.2% vs 16.7%) and housing & utilities (16.4% vs 15.9%). The annual core inflation rate, which excludes costs of farm produce, rose for the sixth straight month to 17.6% in September, the highest since January of 2017. On a monthly basis, consumer prices increased by 1.36%, the least in ten months, after rising by 1.77% in the previous month.
