Argentina: Inflation edges up in September
October 20, 2011
In September, consumer prices rose 0.83% over the previous month, which mirrored the result recorded in August and came in above the 0.72% increase recorded in September last year. As a consequence, annual headline inflation inched up from 9.8% in August to 9.9% in September. Official inflation data published by the National Statistics Institute (INDEC) are continually met with suspicion ever since a controversial change to the price variation measurement methodology was implemented two years ago. As a result, private sector analysts have began to report independent inflation estimates that differ notably from the official figures. The government has repeatedly denied allegations that INDEC data are manipulated and, in March, went a step further by beginning to fine a number of economic consultancy firms for publishing independent inflation estimates, raising further doubts about the validity of official inflation data. Consumers share private analysts' more realistic inflation assessments. According to a Universidad Torcuato di Tella (UTDT) survey conducted in October, households believe that consumer prices will increase 25% over the next 12 months, which is in line with results from the September survey.
Author: Armando Ciccarelli, Head of Data Solutions