Thanks to Milei, poverty in Argentina fell to 31.2% in the second quarter of 2025.

A report published this Monday by Universidad Torcuato Di Tella (UTDT) revealed a new decrease in the poverty rate in Argentina, which reached 31.2% in the second quarter of 2025, marking one of the lowest levels since 2018. In addition, the indigence rate fell to 7.4%.

This figure comes from the poverty nowcast prepared monthly by economist Martín González-Rozada, based on projected microdata from the Permanent Household Survey (EPH) and estimates of the total basic basket (CBT) for Greater Buenos Aires.

The figure is part of a broader estimate indicating that poverty for the first half of 2025 stood at 31.6%. This represents a drop of more than 20 percentage points compared to the same period in 2024, when poverty had reached an alarming 52.9%, following the severe economic crisis inherited from Kirchnerismo.

According to the report, the improvement in the social situation is due to a favorable dynamic between income and prices. While the average total basic basket for the January-June 2025 period increased by 41.8% year-on-year, projected total family income (ITF) rose by 79.7%, which allowed a greater percentage of households to surpass the poverty line.

In the lowest-income sectors (deciles 1 to 4), the improvement was even more pronounced, with an 8.5% semiannual increase in income compared to a 2.05% rise in the food basic basket (CBA).

This result was released just hours after INDEC published the June inflation figure, which stood at 1.6%, almost the same as the 1.5% recorded in May, and well below the double-digit levels seen in the last months of 2023.

So far in the first half of the year, accumulated inflation is 15.1%, while year-on-year inflation slowed to 39.4%, confirming the downward trend in the consumer price index.

Although the situation remains delicate for many households, the decline in poverty and indigence, which fell from 18.2% to 7.4% year-on-year, represents signs of relief in a country that, just a year ago, was facing serious risks of hyperinflation and total collapse.

On his social media, President Javier Milei celebrated the news: "POVERTY CONTINUES TO FALL," the president celebrated. He added: "The cruelty of the liberal-libertarian government toward poverty is strange, since it keeps falling. The improvement of the vulnerable is not achieved with cheap words but with concrete policies resulting from understanding how the economy works. End. LTAP!"

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