Twelve-month average inflation stood at 1.8%, mirroring April’s figure, aligning with the central bank’s forecast for this year.
The core inflation indicator (total index excluding energy and unprocessed food) marked a year-on-year change of 3%, which is 0.2 percentage points higher than the previous month.
This year, the cumulative IPC rate change until May is 1.1%, which is 0.9 percentage points higher than in the same month of the previous year, the INE reports.
In May, the Bank of Cape Verde (BCV) upwardly revised inflation projections (12-month average) to 1.8% (2025) and 1.4% (2026), “below the 2% reference value for price stability,” but above the 0.8% predicted for both years in November, they noted.
The inflation revision reflected “the integration of more recent data with higher than expected price increases, particularly in food and beverages on international markets,” as well as “some expected volatility in energy prices influenced by geopolitical factors and internal pressures associated with the prices of certain services,” the BCV explained.
Inflation in Cape Verde is historically anchored to Europe as it is the country’s main supplier.
