March inflation “fly in the air” and broke all the forecasts made at the beginning of the month. On what background data INDEC will release next week, the Statistics and Census Office of the City of Buenos Aires reported that, on average, price increases in March were 5.9%.

You need to go back to September 2018 to find a higher inflation rate.

In the data for March, in the first 3 months of the year, inflation jumped to 14.6% and accumulated an increase of 54.1% over 12 months.

The data will only be known when the national government moves forward with careful price announcements and new baskets of key products.the

the category food and non -alcoholic beverages averaged 5.7%. Within this division, the main impulses came from increases in Bread and cereals (9.1%), Meat and derivatives (6.5%) and Milk, dairy products and eggs (7.1%). Fish rose 5.7%, while vegetables and legumes, on average, maintained prices in February, but accumulated 51.6% between January and March and 72.7% in 12 months. However, alcoholic beverages stood out with 75.1% year-on-year, ahead of alcohols with 78.6%.

In the first 3 months of the year, foods and non-alcoholic beverages, which mostly affect people with fewer resources, accumulated increases of 19.1% and 59.8% year-on-year.

Since it’s staple food, it’s discounted that the staple basket of indigence will hit another jump. The data will be known next week, but due to the increase in bread and derivatives, meat, fish and dairy products, it is estimated that in January and March it could be at 25%.

Continuing, the new agreement values ​​on “care prices” – which affect approximately 10% of the total size of the food item – and renewed with a price increase between 2 and 3 monthly are continue to affect monthly inflation. Furthermore, because many items on the new official list of the new careful price agreement and the vegetable and fruit basket debut with prices higher than currently implemented.

According to the Buenos Aires Management Report, in March IPCBA diversification primarily responded to increases in the following divisions:

Clothing and footwear up 9.5%, as a result of the seasonal conduct of the division. Clothing increased by 11.1% and footwear by 4.9%. This item in the inflationary ranking ranks second with a 70.2% year-on-year increase.

The first place, with 70.3% year-on-year, corresponds to Hotels and Restaurants, which lagged due to pandemic and quarantine in 2020,

As happens in March each year, with the resumption of classes, due to the increase in school fees, education rose by 22% and within 12 months it exceeded the average inflation of 56.8%.

Health registered an increase of 5.6% due to adjustments in prepaid medical fees and, to a lesser extent, rising drug prices.

Housing, water, electricity, gas and other fuels rose 6.5% due to rising prices of rental housing. Following in importance are the residential rate adjustments for electricity and natural gas through the network, followed by increases in the values ​​of the standard housing costs.

However, this item has risen only 36.6% over the past 12 months and it is estimated that due to adjustments in rates of gas, electricity and household gas services – which are in the views of the International Monetary Fund – They need to make a terrific leap in the coming months.

It should also increase due to the increase in salaries of Casas Particulares staff, which rose 6% in April and 9% in May.