MercoPress. South Atlantic News Agency
Argentina: August's inflation hits 12.4%
Massa criticized the IMF's “inflationary and contractionary” recipes Argentina's National Institute of Statistics and Census (Indec) announced Wednesday that inflation for the month of August had reached 12.4% for a total of 124.4% in the last 12 months. The highest monthly rate in over 32 years came after the Aug. 14 devaluation of the Argentine peso. So far in 2023, the Consumer Price Index has accumulated an increase of 80.2%.
Economy Minister and presidential candidate Sergio Massa said it was “one of the worst months of the last 30 years as a result of an IMF imposition that hit our economy enormously, as was the devaluation plus the PAIS tax.”
According to Indec, the items with the highest increase were “Food and non-alcoholic beverages” (15.6%), followed by “Healthcare” (15.3%) and “Household equipment and maintenance” (14.1%). Private analysts foresee September's inflation to remain in double-digit figures.
Before the devaluation, inflation in Argentina was already at alarming levels. July's index had been 6.3%, up 0.3 points from June, when it stood at 6%. The peak this year occurred in April (7.4%).
The lowest variations in August were Communication (4.5%) and Alcoholic beverages and tobacco (8.5%).
The Statistics Office of the City of Buenos Aires reported last week that inflation in the Buenos Aires district was 10.8% in August, up from 7.3% in July. Thus, the Buenos Aires price index accumulated an increase of 79.8% in the first eight months of the year and a year-on-year variation of 127.3%.
In this scenario, the Government rushed income compensation measures to mitigate the inflationary wave's impact on consumers the month before the presidential elections. Thus, the Economy Ministry engaged in negotiations with companies in a quest for agreed prices of basic food basket items.
Massa also said that “strengthening our currency is the best way to defeat inflation and that, in addition, it allows us to have the autonomy and sovereignty to pay the Fund and get it out of Argentina because” of its “inflationary and contractionary” recipes.
Top Comments
Disclaimer & comment rules-
-
-
Read all commentsDon't be silly..., Shicuréo...
Sep 14th, 2023 - 01:11 pm +2Try to use the lobe of your brain not destroyed by ya' Shilean Naval Academy's deducation...
Firstly..., a “De Facto” dollarization was instaured in Argentina during the nineties by “La Bolocco” hubbie..., remember...?
- Argentina was then one of the ten most expensive countries in the world with over 50% poverty and 60% desocupation..., remember...?
- Argentina's 10% well off..., privileged citizens invaded your thin, long Country almost every weekend to buy three exemplars of whatever we fancied..., just for the fun of it with our extremly overvalued 1Peso=1Dollar..., remember...?
Secondly...., Dollarization has proven to be the path for disaster..., hermanito..., just look NORTH...
NORTH to Ecuador... How is it going for them after 23 years of DollRization..., huhhhhh...?
NORTH to El Salvador... How is it going for them after 22 years of DollRization..., huhhhhh...?
NORTH to Panamá... How is it going for them after 120 years of DollRization..., huhhhhh...?
Capisce...?
Say what you want to say - but Dollarization seems to path of solution...
Sep 14th, 2023 - 11:28 am 0Breakfast this morning was a delicious avocado, ham, cheese omelettes with Bailey's coffee.
¡Saludos de Valle Nevado!
Dear Tænk
Sep 14th, 2023 - 02:29 pm 0I realize surrendering your national currency is a disaster, but so is the current mess...
An anti-inflationary plan is needed, but obviously that won't happen until a new government takes over in December.
What is YOUR solution?
¡Saludos de Valle Nevado!
Commenting for this story is now closed.
If you have a Facebook account, become a fan and comment on our Facebook Page!