According to the Pontifical Catholic University of Argentina, the poverty rate in Argentina may have reached 57% in January.
The Social Debt Watch has also measured the impact of inflation on the population. As a result of the devaluation of the currency and a sharp increase in the basic cost of living, people's incomes have almost stagnated, leading to a jump in poverty and extreme poverty levels in the first two months of Milley's first month in office. The university's Social Watch group estimates that the number of people living in extreme poverty will be 96%, which increased to 14 in December 20232%, compared to 15% in January 2024. The poverty level in the third quarter of 2023 was 447%, which increased to 49 in December 20235%, compared to 57 in January 20244%。57.The poverty rate of 4 per cent is the highest since 2004, when it was 54 per cent.
In January 2024, the poverty standard for an adult in the Buenos Aires metropolitan area is 193146 pesos, while for a standard family is 596823 pesos, excluding rent. According to the current exchange rate, 193146 peso can be exchanged for less than 200 US dollars, which is equivalent to more than 1,000 yuan. The Buenos Aires metropolitan area is one of the richest in Argentina. In other words, the median income in Argentina is only 1,000 yuan a month.
Millet devalued the peso by 54 against the dollar in December, accelerating the collapse of Argentine incomes and skyrocketing prices. According to reports, the reform bill introduced by Milley since taking office has caused massive inflation, with an annualized inflation rate of 211 last year4%, which is the highest in Latin America. Inflation is expected to double this year compared to 2023 due to the lifting of price controls and the narrowing of the gap between the official exchange rate and the parallel exchange rate. Fiscal adjustments, the growth of money** and changes in the exchange rate system are key factors. Among them, the food in Argentina is more than 1 times more common, and now a sandwich in Argentina is generally more than 2,000 pesos, and most Argentines have a monthly income of less than 200,000 pesos and cannot buy 100 sandwiches. Most Argentines can't afford to eat three meals a day.
And Milley has just come to power now, and the hard days are still to come