Inflation reached 2.1 percent in May, the INDEC national statistics bureau revealed today, as the peso rose to a new record against the dollar.
The figure means that inflation in the first five months of 2018 so far has totalled 11.9 percent. The cumulative total for the last 12 months now stands at 26.3 percent.
The data was released by INDEC during another day in which the peso’s rate against the dollar set another record, closing at 28.43 pesos. The previous day, it had closed at 26.69 pesos.
According to the bureau, core inflation – which excludes regulated and seasonal prices – hit 2.7 percent in May, the highest value so far in 2018. The consumer price index witnessed the largest rises in communication (3.9 percent) and food and non-alcoholic beverages (3.3 percent).
President Mauricio Macri and his government recently agreed a deal with the International Monetary Fund (IMF) for a stand-by loan of US$50 billion over a three-year period.
The government’s original target for inflation was modified back in December to 15 percent, but private estimates have outpaced those expectations for months. The deal with the IMF laid down a target of 17 percent in 2019, though did not set one for this year.