Banco de Credito del Peru's (BCP) Economic Studies Department estimates that the
might continue to cut its reference rate in a context of controlled inflation, with a focus on the FED's next actions, and might end 2025 between 4.25% and 4.50%.
Thus, it recorded a year-on-year variation of 1.85% (2% in December 2024), remaining comfortably within the BCR's target range (between 1% and 3%).
Inflation, excluding food and energy, also declined, marking a year-on-year variation of 2.4%, its lowest level in 41 months.
The sector with the largest negative impact on January's inflation was Transportation due to lower prices for air and road passenger transport.
Another sector with a negative impact was Food and Non-alcoholic Beverages driven by lower prices for meat, milk, cheese, and eggs.
In contrast, the sector with the highest positive impact was Restaurants and Hotels.