International Monetary Fund (IMF) Director for the Western Hemisphere Ilan Goldfajn admitted inflation guidelines outlined in Argentina's recent agreement with the financial agency needed to be modified to reflect a steep variation in prices.
Argentina's inflation turned out to be the world's fourth-highest, according to the International Monetary Fund's (IMF) World Economic Outlook report released Tuesday in Washington.
Argentina's inflation accelerated slightly in September from August as some easing of quarantine restrictions allowed the economic activity to begin to recover. The consumer prices rose 2.8% in September and increased 36.6% from a year earlier, Argentina's Indec statistics agency said on Wednesday.
Argentina inflation decelerated to 2.3% in January, the official statistics agency said on Thursday, well below analyst expectations for a 3.4% rise.
The International Monetary Fund has a tough choice to make in Argentina: unlock US$5.4 billion in funds under the country’s loan deal as the government strains to stave off default, or hold the money back and risk sparking more market panic.
Opponents of Argentina's President Mauricio Macri launched a 24-hour strike on Wednesday to protest the government's inability to reduce inflation that has reached 55% over the past year. The strike paralyzed public transport while all flights to and from the country's airports were canceled. Banks, schools and universities remained closed.
Argentina's beleaguered industrial activity fell 10.3% in April due to the peso's devaluation coupled with rampant inflation, the Argentine Confederation of the Medium-Size Company (CAME) reported over the weekend.
Mauricio Macri's original plan was to address Argentina’s citizens on television on the final working day before the Easter break. But he opted for a folksier way of presenting an economic package that he hopes will rescue his chances of being re-elected president in October. He appeared in a taped video, knocking on the door of a house belonging to a young working-class couple, then sitting down with them to explain his plan.
Economic activity in Argentina fell 4.0% in October versus the same month last year, the government said on Thursday, marking the seventh straight month of declines as the country grapples with recession and high inflation.
The US dollar rose 22 cents against the Argentine peso and closed at a 1 US$/ AR$37.50 parity on Thursday. It was the second day in a row for an upward trend following seven straight slumps.