Milei's government won't update fuel taxes in May

The Government of Javier Milei  avoids applying new taxes on fuels in May, accompanying a 4% decrease in YPF prices and consolidating signs of macroeconomic stability. The National Government announced that it will not update the taxes on liquid fuels (ICL) or carbon dioxide (IDC) in May. This decision, made in line with the price reduction announced by the oil company YPF, represents a direct relief to consumers' pockets and a concrete gesture toward stabilization.

The measure was confirmed by the Energy Secretariat, which explained that  "this measure seeks to maintain price stability in a context of inflationary deceleration and macroeconomic consolidation, prioritizing relief for consumers without affecting the competitiveness of the energy sector."

Meanwhile, YPF —a company that controls more than 50% of the fuel market in the country— announced an average 4% decrease in gasoline and diesel prices throughout the national territory, effective from Thursday, May 1st. The decision was announced by the company's president and CEO, Horacio Marín, in an interview with journalist Eduardo Feinmann.

According to Marín, the measure responds to a strategy of adjusting YPF's commercial policy to the evolution of both local and international economic variables, in an environment where the recovery of confidence and predictability begins to be glimpsed.

The news was also disseminated through the social media of the Ministry of Economy, highlighting that the tax updates corresponding to May will not be applied, in line with the policy of temporary fiscal relief without giving up the balance goals. 

Recently, the National Institute of Statistics and Censuses (INDEC) reported that the salary index recorded a 3.8% increase during the month of February, surpassing the inflation of the same period, which was 2.4%. This indicates a real recovery in the purchasing power of wages and