MercoPress. South Atlantic News Agency

August “official” inflation in Argentina, 0.8%, less than half the Congress index

Medical attention and health care was the hottest item with an increase of 3.3%

‘Official’ inflation in Argentina hit 0.8% in August and accumulated 6.4% in the first eight months of the year and 9.8% in the last twelve months, according to the Indec statistics and census bureau.

The Indec report shows that item Food and Beverage was up 0.6% while Medical and health attention soared 3.3% followed by Clothing, 1.3%. Education, Home maintenance and appliances increased 0.9%; Transport and communications, 0.8%; Housing and basic services, 0.4% and Leisure, 0.3%.

The ‘official’ 0.8% index is notoriously lower than the average from private estimates and which was released Tuesday by the main opposition groups in the Lower House and is known as ‘Congress inflation’.

The congressional index reached 1.87% after having recorded 1.62% in July. This means that annual inflation in Argentina is running in the range of 23% to 25%, more or less the percentage on which labour contracts are being agreed, (and blessed by the Argentine government)

Indec also released the wholesalers’ prices which soared 0.9% and by the end of August, accumulated an 8.4% increase. Meanwhile, construction-related costs rose 2% in the last month, and 10.1% during the year.