Overview
- The official CPI rose 2.9% in January, lifting the annual rate to about 32.4% and topping most forecasts from the Central Bank’s REM and private consultoras.
- INDEC used the 2004/05 consumption basket after the government delayed the ENGHo 2017/18-based update, a decision that preceded Marco Lavagna’s exit and the appointment of Pedro Lines.
- Analysts flagged food and services as the main drivers, while Economy Minister Luis Caputo noted core inflation at 2.6%, regulated prices at 2.4% and seasonal items at 5.7%.
- Several teams estimated that the postponed methodology would have produced a slightly lower reading near 2.7%–2.8%, as Buenos Aires City’s updated index registered 3.1%.
- The outturn raises the Central Bank’s currency-band limits at end-March to about $1,653.59 (ceiling) and $844.03 (floor) and serves as a reference for upcoming pension updates.