Brazil’s inflation rate continued to tumble in March, with 12-month inflation nearing the country’s 2017 calendar year target, the Brazilian Census Bureau (IBGE) said Friday. March monthly inflation was 0.25 percent, down from 0.33 percent in February. The 12-month inflation rate fell in March to 4.57 percent from 4.76 percent as of February. The government’s 2017 target is 4.5 percent. March inflation was led by rising housing prices but fuel prices declined, in nominal terms, while food prices rose only slightly. Many economists are now predicting 2017 inflation of under 4.0 percent. Inflation in 2016 was 6.3 percent. Much of the decline in inflation is due to a two-year recession. But other factors have also contributed such as a record grain and oilseeds crop this year and restrictive monetary policies in place during most of 2016.
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