Financial pressures impact households in Argentina and Chile

Economic constraints are forcing families in Argentina and Chile to adopt new strategies to manage household expenses and debt.

In Argentina, data from the Instituto Argentina Grande (IAG) reveals that 5.5 million people were in arrears as of August 2026. This represents 27.6% of all indebted individuals and 14.8% of the population aged 15 and older. The report highlights a significant impact on younger demographics, noting that one in five people between the ages of 21 and 35 has at least one credit line in arrears, a group that has seen a 16 percentage point increase over the last two years.

In Chile, weakened economic growth and strained family budgets are driving residents to prioritize essential home maintenance. To manage costs, households are increasingly opting to repair rather than replace items and are utilizing tool and machinery rentals to avoid the high cost of purchasing equipment. Planning and price comparisons have become essential tools for families attempting to prevent minor domestic issues from escalating into major financial burdens.