Rio de Janeiro, January 14, 2004 (Agência Brasil - ABr) - The cumulative Broad Consumer Price Index (IPCA) ended up at 9.3% in 2003. This result is 0.8% more than the 8.5% ceiling set for last year. Since the target system was first established in 1999, 2000 was the only year in which the IPCA ended up lower than what had been projected. The result in 2003, nevertheless, was below the 12.53% verified in 2002.

According to the explanation given by the IBGE (Brazilian Institute of Geography and Statistics), which compiles the data, the result in 2003 was better than in 2002 as a result of the good agricultural harvest and lessened pressure by the American dollar on consumer prices. The greateest single impact on last year's inflation was caused by urban bus fares (20.95%), followed by electric bills and fixed telephone service charges. These factors were responsible for 2.42% in the IPCA.

The greatest regional index occurred in Belo Horizonte (11.18%), and the smallest, in Curitiba (7.33%). (DAS)