Argentine official October inflation 0.6%; the congressional index, 1.6%

Saturday, November 12th 2011 - 09:51 UTC

Full article 6 comments

Clothes registered the strongest increase according to INDEC

Argentina's official inflation was reported at 0.6% in October, breaking with 18 straight months of consumer prices reported at either 0.7 or 0.8%, the government reported on Friday.

Official inflation is widely discredited and private economists estimate consumer prices actually rose 1.6% last month, according to the so called congressional index, released by members of the opposition.

The INDEC national statistics agency said 12-month inflation through October was 9.7%, slightly down from the 9.9% registered through September, though still far lower than the roughly 25% rate estimated by private economists, which together with Venezuela’s are the highest in Latin America.

The agency stated in its report that the sector that has registered a strong increase was clothes

The disparity between official and private figures set off a government crackdown that includes fines on economists who dare to release their own inflation estimates.

To protect local consultants from retaliation, opposition lawmakers have been releasing the independent estimates, which serve as a key reference point for wage hike and judicial sentencing.

Categories: Economy, Argentina.

Tags: Argentina, Indec, Inflation.

Top Comments

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GeoffWard2
Opposition lawmakers who post inflation figures that depart from the Official Government Inflation Figures are liable to fines, imprisonment and being debarred from positions within future governments.

It is not just the private economic consultants that risk criminal proceedings, massive fines, and incarceration, it is Argentina's public and state servants themselves.

What caused this insanity?
Nov 12th, 2011 - 06:12 pm 0
ChrisR
The answer is simple: the need of the present Govt to avoid the truth getting to the people. Why, if the inflation rate is 10% did they settle with the unions in excess of 20%? My Argentinian friends tell me, that for them, it is more like 28%.
Must be the son of Goebbels in cahrge of the Argentinian propaganda machine.
Nov 12th, 2011 - 07:22 pm 0
Pirat-Hunter
the lack of a flat fee on all foreign exchange is to blame for this problem, I think a 50% fee on the exchange of U$ dollars will go a long way to fix the economy or they can change the paper money for gold coins and let the price of gold set the balue of Argentine money, it would work great as soon as we nationalize gold production in Argentina, then we can say good bye to IMF and WTO and lend them money at an astronomical interest rate, I am sure el banco de la nacion can profit a lot from this two good ideas.
Nov 14th, 2011 - 06:58 pm 0

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