Argentine shoppers rush for deals amidst skyrocketing inflation of over 100%.
Argentines Struggle with Soaring Inflation and Rising Prices
By Miguel Lo Bianco and Claudia Martini
BUENOS AIRES (Reuters) – Argentines, up against painful annual inflation at 113% and rising, are running a daily gauntlet to find deals and lower prices as rapid hikes often leave big differences from one shop to the next, with scattered discounts to lure shoppers.
The South American country is expected to post monthly inflation of near 12% later on Wednesday, which would be the highest since 1991, a figure that would be eye-watering even as an annual figure in most countries worldwide.
The fast price rises, exacerbated by a devaluation of
the peso currency last month, are driving a cost-of-living crisis, have left 40% of people in poverty, and are stoking anger at the traditional political elite ahead of October elections.
“It’s so hard. Each day things costs a little more, it’s like always racing against the clock, searching and searching,” said Laura Celiz as she shopped for groceries in Tapiales on the outskirts of Buenos Aires. “You buy whatever is cheaper in one place and go to the next place and buy something else.”
Her husband, Fernando Cabrera, 59, was doing sums on a calculator to compare fruit and vegetable prices.
“In this way we try to beat inflation or at least compete with it a little,” he added.
Argentina is caught in a cycle of economic crises, with a major loss of confidence in the peso driving steady depreciation, triple-digit inflation, negative central bank reserves and a flagging economy due to drought hitting farming.
The country is also battling to salvage a $44 billion deal with the International Monetary Fund (IMF) and facing the prospect of a $16 billion legal bill after a U.S. court ruling related to the state takeover of energy firm YPF a decade ago.
That’s playing into a race towards presidential elections next month, with radical libertarian Javier Milei the shock frontrunner ahead of establishment candidates economy minister Sergio Massa and conservative Patricia Bullrich.
And inflation itself could still get worse amid the election uncertainty, which has revived memories of hyperinflation from the 1980s among those who lived through it.
“Some estimate say it could accelerate to 180%, which is why we are talking about record inflation levels,” said local economic analyst Damián Di Pace, adding that other nations in the region were meanwhile seeing inflation cool.
“While the rest of the Latin American countries have single-digit inflation, Argentina is already in triple-digits.”
Business owners, who themselves face a tricky cycle of wholesale prices rising before they’ve shipped merchandise and been able to restock, are also suffering from product shortages due to the uncertainty of inflation.
Butcher Marcelo Capobianco, 53, fears having to close his business and is considering emigrating overseas. He displays meat prices in dollars, the currency that many use as a refuge from the constant devaluation of the peso.
“It’s dramatic. We don’t know how we’re going to pay the rent this month, how we’re going to pay the electricity,” Capobianco said at his butcher shop in Olivos, on the outskirts of Buenos Aires. “People are angry and have every right to be because they can’t afford to buy a kilo of meat.”
“We are already thinking about what we are going to do because, in reality, if this continues, I think we are going to have to shut up shop,” he said.
(Reporting by Miguel Lo Bianco and Claudia Martini; Writing by Lucila Sigal; Editing by Nicolás Misculin, Adam Jourdan and Chizu Nomiyama)
Other News:
- Speaker McCarthy opens an Impeachment Inquiry into Biden while Senator Kennedy has NSFW story time.
Other News:
- Georgia Congresswoman Marjorie Taylor Greene says a House impeachment inquiry against Joe Biden will make available the full investigative powers of Congress.
Other News:
- After the Biden Administration’s negotiations with Iran on releasing 5 hostages, members of the United States senate are speaking out, questioning the wisdom of a deal which could encourage future attempts to take American hostages.
Other News:
- 45th President Donald Trump’s legal team has filed a motion to recuse a D.C. judge presiding over the 2020 alleged election interference case.
Other News:
- LONDON (Reuters) -The European Commission launched an investigation on Wednesday into whether to impose punitive tariffs to protect European Union automakers against…
Other News:
- By John Revill ZURICH (Reuters) – ABB is spending $280 million on a new robotics factory in Sweden, the Swiss engineering and…
Other News:
- PARIS (Reuters) – French Europe Minister Laurence Boon on Wednesday welcomed an anti-subsidy investigation into Chinese electric vehicles launched by the EU…
Other News:
- By Mathieu Rosemain and Silvia Aloisi PARIS (Reuters) – Apple said on Wednesday its iPhone 12 model was certified by multiple international…
" Conservative News Daily does not always share or support the views and opinions expressed here; they are just those of the writer."
*As an Amazon Associate I earn from qualifying purchases
