Inflation in Argentina during August stood at 1.9%, accumulating 33.6% over the past twelve months, according to the National Institute of Statistics and Censuses (Indec) on Wednesday. With this data, the country is experiencing a sustained deceleration of prices thanks to the successful economic plan of President Javier Milei.
The cumulative figure for the first eight months of the year shows an increase of 19.5%, the lowest figure for this period since 2020, when 18.9% was recorded. In addition, the monthly variation for August remains identical to July's, also at 1.9%, which demonstrates stability in the inflationary dynamic despite the economic and political volatility recorded over the past month and a half, largely linked to the electoral scenario.
La inflación de agosto fue del 1,9% y lleva 4 meses consecutivos por debajo del 2%
Furthermore, Indec's data also show that, despite the recent increase in the dollar, the so-called "pass-through" to prices was nonexistent, so the rise in the dollar did not affect inflation.
The official report also detailed sectoral behaviors. Core inflation stood at 2%, while seasonal goods and services registered a decrease of 0.8% and regulated items rose 2.7%. Meanwhile, the Basic Food Basket (CBA) and the Total Basic Basket (CBT), key indicators for measuring extreme poverty and poverty, showed a monthly increase of 1%.
Comparatively, data from Buenos Aires City, published by the Buenos Aires City Institute of Statistics and Censuses (Idecba), showed a monthly variation of 1.6% and a year-on-year rate of 37.4%. Between January and August, accumulated inflation in CABA reached 20%.
Javier Milei y Luis Caputo.
Among other notable indicators, the "Clothing and Footwear" division registered a decrease of 0.3% in August, the third consecutive monthly drop, while the year-on-year variation of seasonal products was 12%. The six-month moving average of general inflation stood at 2.2%, the lowest level since September 2020.
With this data, inflation in Argentina shows clear signs of sustained deceleration, with four consecutive months below 2% monthly for the first time since November 2017.
