Argentina's monthly inflation drops to 2.7%, the lowest level in 3 years

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Argentina’s inflation has slowed to 2.7% in October, the lowest level in three years in a win for the libertarian government of President Javier Milei

BUENOS AIRES, Argentina -- Argentina's inflation slowed to 2.7% in October, the lowest level in three years in a win for the libertarian government of President Javier Milei who came to power almost a year ago promising to pull Argentina out of a dire economic crisis.

Argentina's statistics agency on Tuesday reported October's number. In September, inflation was 3.5%.

On an annual basis, inflation in October was 193% compared to 209% reported in September.

Milei has trumpeted falling prices in recent months as a victory in his fight against Argentina’s worst economic crisis in over two decades.

The government has promised to reduce inflation below 3% before the end of the year, something it finally did.

When he took office in December, monthly inflation surged to 25%, and despite it having gone down since, ordinary people struggle in their daily lives as the government imposed a radical economic overhaul, including the elimination of previous generous energy subsidies.

Godkun007 on November 13rd, 2024 at 04:58 UTC »

A 2.7% monthly inflation rate is 32.4% inflation annually. However, the short term interest rate in Argentina is 40.2% a year.

https://tradingeconomics.com/argentina/deposit-interest-rate

So for the first time in a long time, it is actually possible for Argentinians to save money in their local currency without it being guaranteed to lose all of its value. That is a great sign and will likely lead to more confidence in the Argentinian Pesos and thus a continued drop in inflation.

rustednut on November 13rd, 2024 at 02:44 UTC »

Every picture of this guy is like Frodo on meth

lechepicante on November 13rd, 2024 at 02:29 UTC »

In less than a year, inflation has dropped from 25% to 2.7% per month

The interannual rate has dropped to 193% compared to the disastrous peak of 289%, but the trend has slowed and within a few months it will enter a more “normal” stage as the recession and shock therapy fade

That and other economic policies have Argentina on the right track for 2025 and 2026.