Peru posts April inflation of 0.03 percent

LIMA, May 1 (BestGrowthStock) – Peru’s inflation rate for April was
0.03 percent, the smallest price increase of the year and well
below both market expectations and the 0.28 percent rate in
March, the country’s statistics agency said on Saturday.

The index, based on prices in Lima, is used by the central
bank to guide monetary policy decisions. Analysts polled by
Reuters had forecast April inflation of 0.11 percent.

The inflation rate for the 12 months through April was 0.76

Peru’s central bank held its benchmark interest rate steady
at 1.25 percent in April as it waits for signs of higher
inflation and stronger economic growth before raising rates
from an all-time low.

Analysts widely expect it to raise the rate in the second
half of the year.

The central bank’s annual inflation target is 2 percent,
plus or minus a tolerance band of 1 percentage point.

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(Reporting by Patricia Velez; Editing by Eric Beech)

Peru posts April inflation of 0.03 percent