Nicaragua’s inflation rate rose to 5.10 percent year-on-year in October of 2018, barely unchanged from 5.14 percent in September. Prices increased at a softer pace for: food and non-alcoholic beverages (3.83 percent vs 4.35 percent in September); liquor & tobacco (7.47 percent vs 7.51 percent); footwear & clothing (2.12 percent vs 2.19 percent); utilities (7.35 percent vs 7.74 percent); communications (4.96 percent vs 5.19 percent); recreation & culture (6.15 percent vs 6.20 percent); restaurants & hotels (4.12 percent vs 4.52 percent) and home furniture & appliances (2.79 percent vs 2.89 percent). In contrast, cost rose at a much faster pace for transport (12.60 percent vs 9.29 percent), and went up modestly for health services (5.14 percent vs 5.02 percent). On a monthly basis, prices increased by 0.5 percent for the second straight month. Inflation Rate in Nicaragua averaged 8.69 percent from 1993 until 2018, reaching an all time high of 23.99 percent in September of 1993 and a record low of -0.12 percent in August of 2009.
Inflation Rate in Nicaragua is expected to be 5.40 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in Nicaragua to stand at 5.50 in 12 months time. In the long-term, the Nicaragua Inflation Rate is projected to trend around 5.50 percent in 2020, according to our econometric models.