Argentina saw prices more than double in the last year
Argentina’s inflation rate has risen above 100% for the first time since the end of hyperinflation in the early 90s.
Inflation hit 102.5% in February, the country’s statistics agency said, meaning the price of many consumer goods has more than doubled since 2022.
Argentina has been in economic difficulties for years and the majority of the population now lives in poverty.
Its government has tried to curb price increases by capping the prices of food and other products.
But the food and drink sector saw the most dramatic increase of late, with prices rising by 9.8% in February compared to January.
Argentine media said this increase could be partly due to a sharp increase in the price of meat, which rose by almost 20% in a month. Adverse weather conditions, a prolonged heat wave and a drought severely affected livestock and crops, local news outlet Ambito said.
Although the symbolism of the inflation rate rising above 100% is striking, the effects of rising inflation have long been felt in Argentina.
The Argentine government has long tried to curb inflation, but divisions have marred the country’s economic policy.
Last summer, three economy ministers replaced each other in the space of four weeks as the country’s economic crisis worsened, and President Alberto Fernández is said to be at odds with his deputy, Cristina Fernández de Kirchner, over how to tackle Argentina’s economic woes.
In December, the International Monetary Fund (IMF) approved an additional $6 billion.
It was the latest disbursement to Argentina in a 30-month program expected to total $44 billion.