Business

Steep inflation and unemployment lead Brazilians to desperation

Brazil's poor families feel the biggest pinch of all as food inflation spirals out of control. Some are selling their possessions online

Steep inflation and unemployment lead Brazilians to desperation
Street market on Avenida Joana Angelica, downtown Salvador. Photo: Joa Souza/Shutterstock

This week, the Brazilian Institute of Geography and Statistics (IBGE) announced the country’s official inflation rate for 2020. With an overall increase in prices of 4.52 percent, the rise was steeper than market expectations and official targets, largely pushed by a 14.09 percent jump in food costs.

Indeed, what was the sharpest yearly increase in food prices since 2002 has taken a severe toll on Brazilians’ pockets. According to IBGE head researcher Pedro Kislanov, the pronounced food inflation came as a result of increased demand, the devaluation of the Brazilian Real, and commodity prices on the global...

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