Glossary
What is the Inflation (CPI)?
Consumer price inflation
Definition
Inflation is the annual percentage rate at which the general price level of goods and services rises, most commonly measured by the Consumer Price Index (CPI). It erodes purchasing power over time.
Why it matters
Inflation drives central-bank rate decisions and real returns. In Latin America it ranges from low single digits (Chile, Peru) to triple digits (Venezuela, Argentina), so it is a key gauge of economic health.