The inflation in Argentina reached its lowest level in years, reported this Wednesday, August 14, the National Institute of Statistics and Census (Indec).
This significant slowdown in inflation occurs less than a year since Javier Miley assumed the presidency of Argentina on December 10, 2023.
According to the data, inflation in Argentina was 4 percent in July, lowest monthly figure of which there is a record in two and a half years.
These were the sectors most affected by inflation in Argentina: hotels and basic services
Data collected by Indec indicate that inflation 4 percent recorded in July of this year, was lower than the 4.6% of June and below the 4.2% of May.
This figure is far from the 25.5 percent inflation that Argentina registered in December, the date on which Javier Milei assumed the presidency, and during his act, he said that one of his purposes would be eradicate inflation.
Consumer Price Index (CPI) data indicate that over the past 12 months there was an increase of 263.4 percent inflation, one of the highest levels in the world.
Increases in inflation were mainly reflected in the following sectors:
- Restaurants and hotels (6.5 percent)
- Alcoholic beverages and tobacco (6.1 percent)
- Housing, water, electricity, gas and other fuels (6 percent)
Javier Milei, president of Argentina (Especial)
Javier Milei promoted a budget cut to counteract the effects of inflation
According to the policies of Javier Milei, an economist by profession, inflation is a phenomenon that can be reduced through cut in monetary emission and elimination of the fiscal deficit.
During the first half of this year, the Argentine government achieved its largest fiscal surplus since 2008 with the implementation of a budget cut that resulted in:
- Suspension of public works
- Tens of thousands of layoffs
- Freezing of funds for education and health
- Reduction of pensions and social benefits
The above has been reflected in the collapse of consumption and the activity that has been recorded in Argentina Since December, due to the devaluation of the peso and budget cuts.
These are the 4 symptoms of financial stress according to Conducef (Especial)
2024-08-15 06:38:05