MercoPress. South Atlantic News Agency

Argentina's Indec says inflation in November stood at 2.4%

“Inflation in Argentina RIP,” said Presidential Spokesman Manuel Adorni

Argentina's Consumer Price Index (CPI) went up 2.4% in November for a 166% year-on-year, the National Institute of Statistics and Census (Indec) announced Wednesday in Buenos Aires. It was the lowest figure since July 2020 when it reached 1.9%. The Libertarian Government of President Javier Milei welcomed the news: “Inflation in Argentina RIP,” said Presidential Spokesman Manuel Adorni.

 Last month, Housing, water, electricity, gas, and other fuels contributed the highest incidence in the Pampean, Cuyo, and Patagonia regions while Transport bore the bulk of the adjustments in the Greater Buenos Aires area. Clothing and footwear stood out in the northeast and Restaurants and hotels represented the northwest's highest rises. Patagonia was the region with the highest monthly increase (3.3%), followed by Greater Buenos Aires (2.6%).

According to Milei, if inflation remains around 2.5% for three months, he will lower the crawling peg rate to 1% to bring the cost of living to zero and free the exchange market.

October's inflation was 2.7%, the lowest figure since November 2021, which was encouraging for the Government despite a (CPI) of 76.5% during the first ten months of this year. Private consultants had estimated November's inflation to be between 2.4% and 3%. For December they foresee it to stand at 2.9% for an annual inflation of 118.8%. However, November's CPI for the Autonomous City of Buenos Aires stood at 3.2%, repeating the previous figure and thus showing stagnation.

The division with the highest increase in November was Education (5.1%), followed by Housing, water, electricity, gas, and other fuels (4.5%), Alcoholic beverages and tobacco (4%); Restaurants and Hotels (3.6%); Transport (3.4%); Recreation and Culture (3%); and Healthcare (2.9%) while the lowest variations in November were recorded in Household equipment and maintenance (1.5%) and Food and non-alcoholic beverages (0.9%).

In the last 12 months, six items went up above par: Housing, water, electricity, gas, and other fuels: 276.4%; Communications: 215.2%; Miscellaneous goods and services: 218.7%; Transport: 206.2%; Healthcare: 184.4%; and Education: 180%.