Argentina’s monthly inflation rate stood at 6.3% in July, as the South American nation is battling its worst inflation since the early 1990s, with annual price rises at 113.4% through July, the National Institute of Statistics and Census (Indec) said.
The accumulated inflation in the course of 2023 climbed to 60.2%. July interrupted two months of deceleration of the price index, since in April it was 8.4%, in May it fell to 7.8%, and in June it fell to 6.0%.
The rapid price increases, which see retail and input costs regularly boosted, are playing a crucial role in the presidential election contest ahead of an Oct. 22 general election, with a far-right libertarian contender riding a wave of voter rage.
Annual inflation is predicted to reach 141% by the end of the year, according to the most recent central bank expert poll, but it might jump further following a near 20% depreciation of the peso currency on Monday amid a market sell-off.
In an effort to alleviate the country’s economic crisis, the central bank raised the benchmark interest rate to 118% on Monday and allowed the peso currency, which is restrained by capital restrictions, to fall drastically to a set 350 per dollar until the end of October.
