First modification:
The Consumer Price Index in Argentina jumped 7.8% in May 2023 compared to April, although if the comparison is annual, the figure rises to 114.2%, undermining the pockets of Argentines in the midst of an election year.
Both the strong increases in the rates for public services and health, as well as the rise in the parallel quotations of the US dollar that ended up being transferred to the prices of goods and services, are attributed a new price spike in Argentina in May .
The Official Institute of Statistics reported that inflation in the 12 months ending in May 2023 was 114.3%, much higher than the 108% in April and even more dramatic when compared to the 60.7% registered. in May of last year.
If the comparison is monthly, that is, the price index for May compared to April, the jump was 7.8%; evidencing a slight slowdown compared to the 8.4% of the previous month, the first moderation in six months, which experts attribute to the food and beverages category.
Monthly inflation in Argentina unexpectedly cooled for the first time in six months, but price pressures remain very high https://t.co/KN7QKzxmZM
—Bloomberg (@business) June 14, 2023
Argentina is fighting against an economic crisis that could cause inflation to reach around 150% by the end of the year, from a rise of 94.8% in 2022, figures that further agitate the debate in the midst of the pre-election period and that place it as one of the the highest rates in the world.
The economic and monetary crisis in the South American country occurs in an election year. For now, the possible candidates for the Presidency have talked about “stabilization plans”, although without delving into details about how they would do to master one of the worst problems in the country, exacerbated by a historic drought that affects one of its main export lines. : the Agriculture.
