The Argentine central bank estimates that the monthly inflation rate in August will be almost double that of July due to the devaluation of the peso, another sign of the rapid deterioration of the economy.
“The central bank estimates consumer prices will jump at least 10.6% in the month, the fastest spike since Argentina emerged from hyperinflation more than three decades ago,” said officials, who asked not to be identified.
The August data, which will be released by Argentina’s statistics agency on Sept. 14, would surpass the 6.3% monthly inflation Argentina recorded in July, confirming the significant impact on prices of an 18 percent devaluation of the peso announced by the government in early August.
The government of President Alberto Fernández devalued the official exchange rate on August 14 after suffering a defeat in the country’s primary elections.
Argentina’s central bank also raised the benchmark interest rate by 21 percentage points to 118 percent.
