FX.co ★ Brazil Inflation Stays Above BCB Target

In April 2025, Brazil's annual inflation rate climbed to 5.53%, up from 5.48% in March, marking its highest level since February 2023. This increase maintains the rate above the Central Bank of Brazil's upper target limit of 4.5% for the sixth consecutive month. The cost of food and non-alcoholic beverages saw an acceleration, rising to 7.81% from 7.68% in the previous month, despite efforts by the Federal Government to curb inflation by removing food tariffs. Additionally, inflation increased in several other sectors: housing and utilities rose to 4.00% from 3.84%, personal expenses increased to 5.75% from 5.28%, household goods and repairs climbed to 2.49% from 1.69%, and clothing saw an increase to 4.01% from 3.53%. Conversely, the inflation rate for transportation slightly eased, decreasing to 5.49% from 6.05%. Meanwhile, on a monthly basis, the Consumer Price Index in Brazil experienced a rise of 0.43%.