Brazil inflation hits 4.52% in 2020, highest since 2016

Brazil's inflation rate, as measured by the consumer price index, or IPCA, has reached 4.52% in 2020, the highest level recorded since 2016, according to data from national statistics agency IBGE.

The index was up 0.21 percentage point from 4.31% in 2019.

In December 2020 alone, inflation rose 1.35%, the highest monthly variation since February 2003 and also the highest index for the month of December since 2002, IBGE said.

For the yearly data, food and beverages rose the most at 14.09%, followed by housing at 5.25%.

In December 2020, housing had the biggest increase at 2.88%, with household goods following suit with a 1.76% rise.

Last month's inflation level was above the 1.23% median of the projections of 34 financial institutions and consultations polled by Valor Data, according to Valor Econômico. Meanwhile, the yearly level was above the 4.4% estimate established in the survey and the 4% middle of Banco Central do Brasil's inflation target.