Argentina: Inflation continues to climb in July
August 16, 2018
According to the National Statistics Institute (INDEC), national consumer prices rose 3.1% over the previous month in July, coming in below June’s 3.7% month-on-month increase. June’s print reflected a broad-based increase in 11 of the 12 components of the index. The strongest price increases were recorded for: transportation, mainly due to the rise in fuel prices; recreation and culture, due to winter holidays; and household equipment. National inflation increased from 29.5% in June to 31.2% in July, the highest print since March 2017.
Argentina Inflation Forecast
Panelists surveyed for this month’s LatinFocus report expect national inflation to hit 30.4% at the end of 2018, which is up 0.8 percentage points from last month’s forecast. Inflation is projected to ease to 20.2% at the end of 2019. The current LatinFocus projections significantly exceed the Central Bank’s inflation targets for the end of 2018 (15.0%) and the end of 2019 (19.0%).