President, Central Bank Mario Bergara of Uruguay

Finance Deputy minister Mario Bergara said that the 2007 results were as expected and we believe that our estimates for 2008 are consistent with less inflationary pressures compared to last year and in a world context which so far does not offer major obstacles for complying with the targets.

Bergara said that in the last quarter of 2007, steps taken earlier in the year to contain inflation begun to be felt, for example a subsidy to urban transport, which will extend until the end of 2008.

However when asked if the government will have the same fiscal margin in 2008 to contain prices, Bergara said theres no reply to that yet.

Bergara said that inflationary pressures in 2008 are expected to be less than in 2007 and prices may remain high but will not be as exposed as happened last year.

Bergara said the scenario demands from government maximum fiscal and monetary caution to keep inflation at reasonable parameters.