🇦🇷 Argentina annual inflation tops 211%, highest since early 90s https://www.reuters.com/markets/argentina-annual-inflation-tops-211-highest-since-early-90s-2024-01-11/ #News #Press #Argentina #Inflation #Economics #SouthAmerica
@bibliolater More devaluations to come, sadly.
... At the heart of Milei’s audacious economic agenda is his plan to devalue the peso from 400 to 800 per $1 U.S. dollar and then by an additional 2% each month. Part of the goal is to make Argentina’s exports less expensive — and thus more competitive — overseas and reduce the country’s gaping trade deficit... His plan would narrow — but not close – the gap between the official exchange rate and the 1,000-peso-to-$1 rate in the black market...
@kta Is it sustainable in the long run?
@bibliolater yes, this. He doesn't have the ability to dollarize completely on his own, but he can accomplish the same ends by consistently devaluing the peso. Some austerity and devaluation is necessary, but some is purely political. And Argentina will lose agency over it's economy in the process. Chatter : https://www.npr.org/2023/12/20/1197956140/javier-milei-argentina-dollarize-economy-inflation
