• The National Institute of Statistics and Census of Argentina released February’s numbers for the consumer price index (CPI), registering an increase of 6.6%.
• Inflation reached record yearly levels, with prices rising 102.5% YoY, the highest number in more than 30 years.
• Local economists have expressed their worries about the acceleration of prices in the country, calling for changes in the economic policies of the government of Alberto Fernandez.
Record CPI Levels in Argentina
The National Institute of Statistics and Census of Argentina released February’s numbers for the consumer price index (CPI), registering an increase of 6.6%, a consequence of the rises in prices of food and beverages principally. The number is among the highest in the history of Argentina, reaching more than 100% growth year-on-year (YoY), something that has alarmed local analysts.
High Yearly Inflation Rates
Inflation reached record yearly levels, with prices rising 102.5% YoY, which is higher than what was registered in January and it is also the highest number recorded within 30 years or more. It is expected that there will be an acceleration come March making it hard for to reach its goal set by itself: to control inflation below 100%. This makes Argentina have one off he second highest inflation rate after Venezuela with 155.8%.
Economic Worries from Local Economists
Local economists have expressed their worries about the acceleration of prices in the country, calling for changes in the economic policies put forward by president Alberto Fernandez’s government. These measures were set up since October 2020 but unfortunately it did not achieve its desired purpose as Martin Vauthier from Anker Latam mentioned “A stabilization program is required with a strong fiscal component, an exchange rate consistent with accumulation reserves and a consistent monetary policy that serves to reverse expectations and rebuild demand for money” while Santiago Manoukian from Ecolatina added “The main concern is that rise was driven by food and beverages having a greater impact on consumption basket if poorest households” .
Price Fixing To Avoid Constant Repricing
The rise in prices has made some retailers change their methods to fix prices according to U.S dollars so as to avoid constant repricing which can be very damaging when dealing with frequent changes like those happening right now due to inflation surge in Argentina .
Conclusion
To conclude , The National Institute Of Statistics And Census Of Argentina Released February’s Numbers For The Consumer Price Index Showing A Rise Of 6.6%. This Is Caused By A Hike In Prices Of Food And Beverages Which Has Led To Record Yearly Levels Reaching More Than 100% Growth Year On Year . This Has Alarmed Economists Who Are Calling For Changes In Economic Policies Set Up By President Alberto Fernandez’s Government As Well As Retailers Who Have Been Forced To Fix Prices According To U.S Dollars To Avoid Constant Repricing