The skyline in Argentina

Argentina Monetary Policy August 2022

Argentina: Central Bank hikes interest rate again in August

On 11 August, the Central Bank of Argentina (BCRA) decided to hike the LELIQ rate to 69.50% from 60.00% in a bid to tame inflation, anchor inflation expectations and sustain the peso. Moreover, the Bank hiked a series of secondary rates.

The Bank increased rates further due to a jump in inflation, rising inflation expectations and sustained financial volatility. Inflation spiked to 71.0% in July from 64.0% in June. The current monetary policy stance of the BCRA is framed in an agreement with the IMF; the country has committed to move gradually towards positive real interest rates. The Central Bank added that it is broadening its efforts to coordinate with the Ministry of the Economy.

Looking ahead, the Bank hinted at further “calibration” of the key interest rate amid the gradual normalization of its monetary policy stance.

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest