Minutes of Banco de la Republica Board of Director’s Meeting of 29th June 2012

Backgrounds

a. Recent developments in inflation

Annual consumer inflation in May stood at 3.44%, which means 1 basic point (bp) above the previous month record. This result can be explained by an increase in the annual variation of the CPI without foods which shifted from 2.81% in April to 2.94% in May, and a 29-bp reduction in the annual variation (4.72%) as compared with the previous month figure. Year to date, a CPI increase of 1.92% has accrued, lower than the increment seen during the same period in 2011 (2.2%).

More information in the attached document.