Montevideo, 14 May (Argus) — Argentina’s headline inflation rose at a 32.4pc annual rate in April, easing from the prior month but remaining well ahead of target.
It was the second consecutive month that the annual consumer price index (CPI) has eased. It was 32.6pc in March, down from 33.1pc in February after rising from a cyclical low of 31.3pc in October 2025, according to the statistics institute, Indec. It peaked at just above 292pc in April 2024.
Five categories helped push up annual inflation in April, with utilities up by 47.8pc, education up by 41.3pc, transportation climbing by 39.9pc, hospitality up by 39pc and communications up by 38.3pc. Clothing and shoes lagged at 12.7pc, with alcoholic drinks and tobacco at 23.8pc inflation.
CPI rose by 2.6pc for the month of April, down from 3.4pc in March and the first monthly decline since prices began inching up last June.
Transportation was the main monthly mover in April, with prices up by 4.4pc, followed by education, up by 4.2pc, and communications, up by 4.1pc. Food and beverages rose by just 1.5pc.
President Javier Milei’s government included inflation at 10.1pc in its 2026 budget, but the International Monetary Fund (IMF) puts it at just above 30pc for the year. Argentina has the world’s largest extended fund facility with the IMF. It owes $41.78bn of the $121.3bn the IMF has in outstanding credits.
In addition to getting inflation down, the government is also grappling with low economic growth and falling tax revenues. The economy contracted slightly in February and inflation-adjusted tax revenue fell for a ninth consecutive month in April, according to the tax service.
By Lucien Chauvin
