Argentina’s inflation rate has reached nearly 100%, according to the government, with employees’ budgets being squeezed as costs continue to outstrip wages and savings suffering from some of the world’s fastest-rising prices.
In January, monthly inflation in the South American country, which has long struggled with rising costs, accelerated to 6 percent, as predicted, and the yearly total reached 98.8 percent, the highest level since the 1990s’ hyperinflation.
Gisella Saluzzo, a 30-year-old doctor in Buenos Aires, has had to cut back on expenses.
“The truth is that I live day to day, I look for low prices, I go to markets. We look for where the meat is cheaper, the vegetables are cheaper, and hunt for online promotions to get by,” she told news reporters.
The economy has been severely impacted by rampant inflation, causing the central bank to raise interest rates to a startling 75%. The centre-left Peronist government of President Alberto Fernandez has seen a significant decline in popularity in the run-up to the October general elections.
Argentinians are fed up with inflation, which many of them attribute to the government’s weak economic policy and money printing, which has the conservative opposition is currently leading in the polls.
Brian Muliane, a 33-year-old chiropractor, claimed inflation and taxes have made it difficult for his business to remain in operation.
“In our work, between paying for one thing and another, along with taxes, they’re drowning us,” he said. “There are many who can’t even work.”
Despite government measures to fight it, inflation ended 2022 at 95 percent and could still accelerate this year. Many have been forced to change their shopping habits and cut back on luxuries.
“There are things that I’ve stopped buying because I say no, it is just impossible for it to increase like this,” said 50-year-old teacher Andrea Mendoza as she was out shopping. “So I don’t buy some things, I change habits or buy offers.”
Author-Roberta Appiah
