President Gustavo Petro said this Wednesday that the rise in interest rates by the Bank of the Republic does not serve to contain inflation.
(Annual inflation in Colombia stood at 11.44% in September).
This was confirmed through a message on social networks in which he referred to the CPI data revealed by Dane.
“The price of food continues to drive the inflationary rhythm of Colombia; this time less because of international inflation, more because of the floods. Energy services lessen your impact. Is it useful to raise the interest rate to contain inflation?: No”, the president wrote.
The price of food continues to drive the inflationary rhythm of Colombia; this time less because of international inflation, more because of the floods. Energy services lessen your impact.
Is it useful to raise the interest rate to contain inflation?: No. https://t.co/qGioPcvjR8
– Gustavo Petro (@petrogustavo) October 5, 2022
He added that the government will deepen its anti-inflationary policy with structural measures.
(Inflation in Colombia: energy prices rose again).
“The tax reform for large fortunes, the fertilizer subsidy, the agrarian reform, food in poor neighborhoods, and the change in the energy tariff formula” would be some of the measures to control price increases.
He further stated that “We will seek to strengthen public banking and increase competition in the financial sector to achieve low interest rates in the food-producing sector and the popular urban economy in the process of industrialization.”
(Unstoppable food: the sector that has risen the most in prices in 2022).
Inflation in Colombia, in its annual variation, it stood at 11.44% in September, the highest since 1999. For its part, in the most recent meeting of the board of the Banco de la República, it was decided to increase the rate by 100 basic points (bp). of interest of monetary policy, taking it to 10%.
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