The annual inflation in Jamaica eased to 2.4 percent in December 2018 from 4.1 percent in the previous month, hitting its lowest level in two years. The sharp downturn was mainly explained by a drop in inflation for utilities (4.7 percent vs 7.4 percent), food & beverages (2.3 percent vs 4.7 percent), transport (1.0 percent vs 2.7 percent), and clothing (2.1 percent vs 2.6 percent). In contrast, inflation for liquor & tobacco edged up to 1.4 percent from 1.3 percent. On a monthly basis, consumer prices fell 1.0 percent after remaining unchanged in the previous month. Inflation Rate in Jamaica averaged 9.08 percent from 2002 until 2018, reaching an all time high of 26.49 percent in August of 2008 and a record low of 1.60 percent in November of 2016.
Inflation Rate in Jamaica is expected to be 4.40 percent by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate Inflation Rate in Jamaica to stand at 4.80 in 12 months time. In the long-term, the Jamaica Inflation Rate is projected to trend around 4.70 percent in 2020, according to our econometric models.