President Hipólito Mejía attributed the forecasted two-digit inflation at year’s end to the high cost of petroleum. He said that the government will have to spend US$1,200 million more on fuel purchases this year. The Central Bank has reported that accumulated inflation is 7.03% in September, but inflation at year’s end is forecast to be 10%. This would be the highest in five years. Inflation in 1995 was 9.22%; in 1997, 8.37%; in 1998, 5.10%; and in 1999, 5.10%.
