Inflation in Mexico soared in April: INEGI

Mexico's inflation rate rose to 3.93% in April —its third consecutive month of increases driven primarily by rising food prices—the National Institute of Statistics and Geography (INEGI) reported Thursday.

The figure is higher than the 3.80% recorded in March and the 3.77% recorded in February, when the index broke a three-month streak of consecutive declines. On the other hand, Inegi reported that the consumer price index (CPI) increased by 0.33% in the month.

The statistics institute noted that in the same month of 2024, monthly inflation was 0.20% and annual inflation was 4.65%. The core price index, considered a better measure of overall inflation because it excludes items with high price volatility, rose 0.49% monthly and 3.93% annually, INEGI detailed in its report.

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While non-core items fell 0.21% monthly, but increased 3.76% year-over-year. Within the core subgroup, merchandise increased 0.69% month-over-month and 3.38% year-over-year. Meanwhile, services increased 0.3% month-over-month and 4.56% year-over-year.

Among non-core prices, agricultural prices rose 1.60% compared to the previous month and 4.13% compared to the same month last year. In contrast, energy prices and government-authorized tariffs contracted -1.59% in the month, but increased 2.99% for the year.

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The price index for the basic consumer basket, comprising 176 products and services, grew by 0.22% monthly and 3.69% annually. The sectors with the greatest year-on-year increases were restaurants and hotels (7.22%), education (5.86%) and transportation (4.88%).

While the generic products that increased the most in the month were tomatoes (22.08%), avocados (10.90%) and skin creams (5.33%).

Consumer prices closed 2024 with a 4.21% increase, their lowest level in four years, following the 4.66% increase in 2023 and the 7.82% increase in 2022, the highest level in 22 years and the highest level of the century for a year-end.

The April data comes after the Bank of Mexico cut its interest rate to 9% in March, amid the uncertainty generated by the trade war launched by U.S. President Donald Trump.

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AO