Revelation of Expectations in Latin America (REVELA): No. 39 : March, 2014

The February 2014 surveys of expectations conducted by Central Banks with inflation targeting regimes indicate that average growth expectations for 2014 have fallen from 3. 9% to 3. 8% while inflation expectations for 2014 have remained stable at 4. 6%. In most of the countries studied, expected 2014 growth decreased between the January and February surveys. Indeed, expected growth fell in Brazil (0. 3%), Chile (0. 2%), Mexico (0. 2%), Paraguay (0. 3%), Peru (0. 1%) and Uruguay (0. 1%). Expected growth now ranges between 5. 5% (Peru) and 1. 8% (Brazil). The GDP weighted average inflation expectation for the region in 2014 is 5. 0% and the GDP weighted average growth expectation is 2. 6%. Inflation expectations rose in Colombia (0. 1%), Paraguay (0. 3%) and Uruguay (0. 3%) and fell in Guatemala (0. 1%), Mexico (0. 1%) and Peru (0. 2%).