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Argentina inflation slows to 1.7% in August amid ongoing purchasing power concerns
Argentina recorded a monthly inflation rate of 1.7% in August, the lowest in 14 months, according to INDEC. While the government has celebrated this deceleration as a sign of economic stability, the data reveals a complex reality for consumers. The annual inflation rate stands at 33.5%, and the cumulative inflation for the first eight months of the year is 21.3%.
Despite the slowing headline rate, the erosion of purchasing power remains a critical issue. Minimum pensions have lost nearly 41% of their purchasing power since late 2019. Similarly, formal private-sector wages have faced significant declines, with many workers earning less than the amount required to cover the basic food or total basic baskets. In some regions, such as Tucumán, a typical household requires over $1.3 million to avoid falling into poverty.
Recent data from the second week of September suggests renewed pressure on food prices. Private consultancies like LCG reported a weekly increase of 3% in food items, driven largely by a 9.2% rise in baked goods, cereals, and pasta. While some analysts, such as Analytica, reported more moderate weekly increases of 0.4%, the divergence highlights the ongoing volatility in essential goods. Additionally, rising costs in services and utilities continue to disproportionately affect vulnerable groups, including retirees.
Entities
Argentina · INDEC · Javier Milei · LCG · Luis Caputo · Universidad Metropolitana para la Educación y el Trabajo
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 9 SOURCES] Argentina's monthly inflation rate for August was 1.7%. www.eldiariodemadrid.es · argentarnoticias.com.ar · eenergetica.com.ar · cuestionentrerriana.com.ar · noticiaslatam.lat · +4 more
- [DISPUTED] Food prices rose by 3% during the second week of September according to LCG. argentarnoticias.com.ar · diariopanorama.com · tn.com.ar
- [● 2 SOURCES] Baked goods, cereals, and pasta rose by 9.2% in the second week of September. argentarnoticias.com.ar · tn.com.ar
- [○ 1 SOURCE] The housing and utilities category rose by 2.8% in August. cuestionentrerriana.com.ar
- [● 5 SOURCES] The annual inflation rate in August was 33.5%. www.eldiariodemadrid.es · eenergetica.com.ar · noticiaslatam.lat · cuestionentrerriana.com.ar · www.dataclave.com.ar
- [○ 1 SOURCE] Worker inflation was 1.7% in August according to the IET report. eenergetica.com.ar
- [○ 1 SOURCE] Food and non-alcoholic beverages prices increased by 22.1% since January. argentarnoticias.com.ar
- [DISPUTED] Analytica measured a 0.4% food price increase for the second week of September. argentarnoticias.com.ar · diariopanorama.com · tn.com.ar