Even though inflation (MtM) was in line with expectations, lower than inflation in January of 0,14%, general inflation (YoY) increased by 30 bps to 2,98% compared to the previous month which only reached 2,68%. The YoY increase in the general inflation rate was due to higher MtM inflation, which usually experiences deflation in February. In other words, there is a greater shock to price movements, especially volatile goods prices. One of these bigger disruptions is the higher intensity of the rainy season causing obstacles to the supply level of several food commodities such as garlic, shallots and red chilies.

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