economy

Colombian families are changing consumption habits and stopping ordering deliveries due to inflation

The cost of living in Colombia has been relentless for months. Photo: Courtesy - A.P.I.

Colombian families are changing consumption habits and stopping ordering deliveries due to inflation

TL;DR

  • Colombian households are cutting back on non-essential spending such as food delivery, meals outside the home, and extra travel due to inflation.
  • Families are prioritizing essential expenses like food, housing, and transportation, while postponing non-urgent purchases.
  • Inflation rates in April included monthly inflation of 0.78%, an annual inflation of 5.68%, with specific increases in restaurants and hotels (9.61% annually) and food (6.71% annually).
  • Consumers are substituting food items, for example, switching from fruits to cheaper alternatives or changing meat for eggs, and buying in bulk or seasonal products.
  • Transport and housing costs are also rising, with urban transport up 10.29% year-to-date and gas prices increasing.
  • High interest rates (11.25% monetary policy rate and 28.17% usury rate) make credit expensive, leading to recommendations against financing daily expenses with credit cards or consumer loans.