Argentina freezes prices to break inflation spiral - New York News

Argentina freezes prices to break inflation spiral

Posted: Updated:

ALMUDENA CALATRAVA, Associated Press

BUENOS AIRES, Argentina (AP) — Argentina announced a two-month price freeze on supermarket products Monday in an effort to break spiraling inflation.

The price freeze applies to every product in all of the nation's largest supermarkets — a group including Walmart, Carrefour, Coto, Jumbo, Disco and other large chains. The companies' trade group, representing 70 percent of the Argentine market, reached the accord with Commerce Secretary Guillermo Moreno, the government's news agency Telam reported.

The commerce ministry wants consumers to keep receipts and complain to a hotline about any price hikes they see before April 1.

Polls show Argentines worry most about inflation, which private economists estimate could reach 30 percent this year. The government says it's trying to hold the next union wage hikes to 20 percent, a figure that suggests how little anyone believes the official index that pegs annual inflation at just 10 percent.

The government announced the price freeze on the first business day after the International Monetary Fund formally censured Argentina for putting out inaccurate economic data. The IMF has given Argentina until September to bring its statistics up to international standards, or face expulsion from the world body in November.

President Cristina Fernandez and her economy minister, Hernan Lorenzino, responded over the weekend with a flurry of attacks on the IMF, saying the agency's data-gathering efforts had lost credibility in the lead-up to Argentina's historic 2001 debt default. They said IMF advice is leading Europeans astray by favoring big banks over measures that can grow economies out of crisis.

However, Lorenzino also said that the government will begin using a new inflation index starting in fourth-quarter 2013 — just in time for the IMF's decision.

Copyright 2013 The Associated Press.

  • Local NewsLocal NewsMore>>

  • Thousands march in Staten Island to honor Eric Garner, Michael Brown

    Thousands march in Staten Island to honor Eric Garner, Michael Brown

    Saturday, August 23 2014 12:59 PM EDT2014-08-23 16:59:25 GMT
    Thousands of protesters packed in cars and caravans, crossed over the Verrazano-Narrows Bridge Saturday to protest the death of Eric Garner, the man who died last month after being put in a chokehold by an NYPD officer.
    Thousands of protesters packed in cars and caravans, crossed over the Verrazano-Narrows Bridge Saturday to protest the death of Eric Garner, the man who died last month after being put in a chokehold by an NYPD officer.
  • Police: 5 suspects wanted in Central Park attack

    Police: 5 suspects wanted in Central Park attack

    Saturday, August 23 2014 12:27 PM EDT2014-08-23 16:27:52 GMT
    Police are looking for five suspects in a Central Park pellet attack they're investigating as a hate crime.
    Police are looking for five suspects in a Central Park pellet attack they're investigating as a hate crime.
  • Friday Night Live: August 22, 2014

    Friday Night Live: August 22, 2014

    Friday, August 22 2014 10:34 PM EDT2014-08-23 02:34:20 GMT
    This is Fox 5's Friday Night Live, a weekly celebration of the end of the work week. All summer long, the Fox 5 team brings you the latest in entertainment, nightlife, food, and music in our area. In this episode: Ace Frehley, Big Sean, Week End Trends, and Chef Luca Manfé of MasterChef.
    This is Fox 5's Friday Night Live, a weekly celebration of the end of the work week. All summer long, the Fox 5 team brings you the latest in entertainment, nightlife, food, and music in our area. In this episode: Ace Frehley, Big Sean, Week End Trends, and Chef Luca Manfé of MasterChef.
Powered by WorldNow
Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | New Terms of Service What's new | Ad Choices