Argentina posts 1.9% June inflation as Milei pushes BCRA charter reforms

Argentina's inflation slowed to 1.9% in June, with an annual rate of 33.5% and core inflation at 1.6%, a figure praised by economist Luis Herrera. Herrera warned that the lower inflation rate does not restore purchasing power because salaries, especially public sector wages, are not keeping pace, urging a recovery of salaries to stimulate consumption.

At the same time, President Javier Milei's government is advancing reforms to the charter of the Central Bank (BCRA) aimed at limiting monetary issuance, reflecting a libertarian orthodoxy. The proposal, still under legislative review, has sparked debate over its impact on inflation, employment (unemployment now above 7%) and broader economic restructuring that prioritises mining and finance over traditional industry.