Argentina's inflation rate accelerated to 3.4 percent in March, marking the highest monthly increase in one year, according to data from INDEC reported by batimes.com.ar.
Education costs led the surge with a 12 percent jump. Transport prices rose 4.1 percent, while housing, utilities, and fuels increased by 3.7 percent.
Recreation and culture also outpaced the general average with a 3.6 percent rise. In contrast, household equipment and maintenance costs grew by only 1.3 percent.
Regional disparities were evident as the northeast of the country recorded the highest price hikes. Meanwhile, Patagonia saw the lowest increases, averaging 2.5 percent.
Year-to-date inflation has reached 9.4 percent, while the 12-month inflation rate stands at 32.6 percent, the outlet reported.
President Javier Milei reacted to the data on X, expressing dissatisfaction with the figures. “The data is bad. We don't like the data because inflation disgusts us,” Milei wrote.
He added that while the current numbers are difficult, there are elements that allow for hope that inflation will eventually return to a downward path.
Economic shock and political pressure
Economy Minister Luis Caputo attributed the March rise to a price "shock" linked to energy costs following Middle East conflicts. He also pointed to seasonal spikes in education and transport.
“March’s Consumer Price Index (CPI) will certainly be above three percent because there was a shock that clearly had a significant impact on everything related to oil, from domestic airfares to transport costs,” Caputo said in an interview with economist Salvador Di Stefano.
Caputo expressed confidence that a process of disinflation and growth would begin from April onwards. He promised that the next 18 to 20 months would be the best for Argentina in decades.
However, the recent data presents a challenge to Milei’s administration. The president had previously promised to bring monthly inflation down to a single-digit rate by August.
Recent polling suggests growing domestic opposition to the president's economic model. A survey by the Zuban Córdoba consultancy firm found that 60.7 percent of respondents were against Milei seeking re-election.
According to the report, 47 percent of those surveyed cited poor economic management as a primary reason for rejecting the administration.
