MercoPress. South Atlantic News Agency

Argentina official May inflation 0.8% and 9.9% in the last 12 months

Indec figures are widely disputed and considered to be manipulated

Argentina's official inflation was 0.8% in May, the same as in April despite slowing economic growth, the government said on Wednesday. Inflation in the last twelve months stands at 9.9% and 4.3% in the first five months of the year.

Argentina’s inflation figures are widely disputed and private economics consultants estimate consumer prices rose 1.71% in May and have accumulated 23.85% in the last twelve months.

The nine private consultants May average estimate was released on Monday by the Congressional Freedom of Speech committee, since private consultants are liable to be fined (and have been) for publicly releasing such data.

Economic growth in Latin America's No. 3 economy is slowing from the almost 7.5% average of the last nine years. Precisely double-digit inflation is deeply entrenched and annual inflation expectations remain high among economic agents and the public in general.

Continued strong state spending and loose monetary conditions mean price rises are unlikely to ease, analysts say.

The official statistics agency Indec said 12-month inflation through May was 9.9%, up slightly from 9.8% a month earlier but far below the 20% to 25% rate seen by private economists.

Indec said May's biggest price gains were registered in education and health costs, which climbed 2.5% and 2.0% respectively. Costs in the heavily weighted food-and-drink sector rose 0.7% compared with 1.3% in April.