Argentina's state-run oil company increased the price of fuel at pumps by 7.5% on average Sunday but it remained well below figures in neighboring cities abroad. The accumulated devaluation since the last naphtha adjustment is 16%.
Argentine unionist groups and social organizations took over the streets of Buenos Aires Wednesday causing traffic jams during office hours as they protested against rising inflation and unemployment and the deterioration of living conditions in general under the administration of President Alberto Fernández.
Foreign Analysts do not see a bright future ahead for Argentina's economy. While some place it among the countries most likely to default its debt, others fear it might not survive a new adjustment to the basic interest rates by the United States.
The Government of Argentina has adjusted the so-called PAIS tax from 35% to 45% as of Thursday to equate the exchange rate between the local currency and the US dollar to that existing in the unofficial “blue” market.
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.