The National Institute of Statistics and Geography’s (INEGI) National Consumer Price Index shows that Mexico has an annual inflation rate of over 4% in February. This is due to rising prices for food and the continued pressure on services.
INEGI stated that INPC grew by 0.50% over the month before, reaching 144.307 at the end of February 2026.
The annual inflation rate was 4.02% in March 2025, which is slightly higher than the previous 3.77%.
INPC, Mexico’s main benchmark for inflation monitoring trends, measures the change in prices over time of the goods and services that are consumed nationwide.
Despite some declines in energy and agricultural commodities, recent data shows that there is still a price squeeze on key categories of consumption, namely food and ready meals.
The core inflation rate is high
If you examine the numbers closely, it is clear that core inflation has continued to increase, excluding volatile products and those prices which are not directly affected by market forces.
In February, the core price index rose by 0.46 percent month-over-month. This indicates that inflation is continuing in both goods and services due to increased domestic demand.
In the core component, stronger pricing dynamics were evident in sectors with high labour intensity such as hospitality and restaurants. Goods prices increased by 0.39% and services prices rose by 0.52%.
The core index increased by 4.50% on an annual basis, which is significantly more than the 3.65% increase that was recorded for the same period in 2025.
The rise in inflation in Mexico is a sign that the pressure is increasingly being concentrated on structural products, such as services and not just volatile energy or food.
Core inflation is often viewed by economists as an accurate medium-term measure because it removes the short-term fluctuations of items like fresh food or energy.
Non-core price increases are driven by food volatility
In February, the non-core index, which is more volatile and includes agricultural products, government-regulated electricity prices, as well as other components, increased by 0.64 percent.
The largest rise in this category was for fresh food. Fruits and vegetables prices rose by 4.94 percent compared to last month. This contributed significantly to overall consumer cost increases.
The government’s tariffs and prices for energy increased only by 0.02%. This indicates that the cost of fuel and electricity remained stable.
Inflation on a yearly basis was 2.44%. This is lower than the 4.08 % recorded in February 2025.
The price pressures on these categories, which are volatile, have diminished over the last year, despite their monthly volatility.
Food and restaurants are the major drivers.
INEGI has also identified several products and services which had the biggest influence on February’s inflation.
Prices rose for potatoes, tomatoes and other tubers.
As operating costs rose in the food industry, small eateries, casual dining restaurants, such as loncherias and fondas and torterias and taquerias also saw price increases.
The country is a major consumer of these items, as many families buy them every day.
Several products also helped to reduce the inflation rate.
Prices of liquefied Petroleum Gas (LPG), which is commonly used by Mexicans for heating and cooking, have declined in the last month.
The price of eggs and poultry also decreased, partly offsetting the increase in prices for other food categories.
As new information becomes available, this post Mexico’s inflation hit 4% by February and food prices rose may change.
This site is for entertainment only. Click here to read more
