"As a result of disinflationary pressures stemming from demand, inflation remained low in 2020. With the upturn in activity and the rise in international prices of oil and some food products, inflation is projected to rise, albeit moderately, from 0.7 percent in 2020 to 0.9 percent in 2021 and 1.2 percent in 2022," BAM noted in a press release.

Its core component is expected to follow a similar pattern, rising from 0.5 percent in 2020 to 1.2 percent in 2021, then accelerating to 1.5 percent in 2022, the Central Bank added.