Petrol, prepaid cards, electricity, domestic workers, private schools: the 8 biggest increases expected in March

Petrol, trains, waitresses, prepaid cards, electricity tariffs, private schools, rentals and taxis, March arrives with at least 8 excursions already scheduled this will have repercussions on inflation which, although showing signs of deceleration, is still in double digits.

The third month of the year is always complicated in economic matters, it is for many the real beginning of the year, and with the plan to deregulate the economy that the Government is carrying out, that pressure seems to become even more accentuated. Days ago, even Javier Milei himself had warned that the March/April combo ““They will be the worst months” and then start a recovery process.

In terms of increases, those that put more pressure and complications, fuels appear. This Monday, the national government confirmed the increase in gasoline, which will increase by 4.4% from Friday March 1, and seven more increases will impact Argentine pockets and keep next month’s CPI in double digits.

From EcoGo, they explained to Clarín that, according to the latest weekly price survey, “the estimate of inflation for February is 15.9%”. In this sense, for March “we believe it will be slightly higher, in the 16/17% area”, explains Lucio Garay Méndez, analyst at the consultancy firm.

“In February we started with strong increases in regulated activities, transport and electricity also arrived in the first days of the month. Food and beverages which had undergone a strong deceleration, now the weekly increases seem stable at weekly increases of around 2%”, indicates the economist. And he adds: “A new wave of regulations arrives in March, gas has a strong weight in the ‘IPC and not “We exclude a new increase in transport”.

It is worth mentioning that, in the month of January, inflation was 20.6%, high, but lower than December’s 25.5%. Now, for February, a CPI of between 15 and 18% is expected (which would mark a slowdown, although not substantial), and a March that could be even lower.

“This is still double-digit monthly inflation, and if it is not higher it is because demand is hit and the government is pursuing a strong restrictive monetary and fiscal policy,” added the EcoGo economist.

One by one, what are the 8 increases expected for March

• Gas

The Milei government will implement the second partial increase in taxes on liquid fuels (ICL) and carbon dioxide (IDC) on March 1 items that will affect the price of a liter of petrol and diesel.

Adjustments of between 4.4% and 2.7% respectively are therefore expected. Therefore, a liter of super petrol is expected to rise to $32.63 above current values ​​and to $21.12 for diesel.

• long-distance trains

In the third month of the year there will be new reference values ​​for long-distance trains, whether regional, interurban or interjurisdictional: Buenos Aires-Mar del Plata, $4,493; Bs As-Pinamar; $3896. Buenos Aires-Bahía Blanca, $7691; Bs As-Córdoba, from $7900.

The increase was reflected days ago in the Official Journal, in Resolution 14/2024, signed by the Nation’s Ministry of Transport. These increases will reach up to 70% and will come into force on March 1st.

• AMBA private schools

In the month that opens the school year, the boss will be one of those who puts the most pressure on the pockets. Another adjustment will also be added to the exorbitant increases in uniforms and the basket of products for the return to school. in the fees of private schools in CABA and in the province of Buenos Aires.

In the schools of Buenos Aires, Rates will be increased by up to 50% in quotas of the third month of the year; In the city the estimate will be an average increase of 40%.

• Prepaid

The prepaid mode will be tested in March an average increase of 23%. approximately the February value. This will be the third consecutive increase so far this year.

This way, so far in 2024, prepaid users have received a rate increase 30% in January and 26% in February.

• Electricity rates

With the new month, Electricity bills will come with an increase of up to 150%. According to Energia, the tariff segmentation which contemplates three user universes will continue to be in force, determined however by the Total Basic Basket (CBT): high, medium and low income.

In the case of high-income users, they no longer receive subsidies and pay the full cost of the supply. Tier 1 rates (i.e. the highest income earners) will go from $13,900 to $34,332, which is a 150% increase. And for Tier 2 (low income) the rate will be around $7,500, which represents a 70% increase. For those in level 3 (average income), the estimated increase will be around 65%.

• Domestic workers

The Work in Private Homes Commission has closed the first increase of the year for domestic employees who will receive an increase divided into two tranches: 20% in February and another 15% in March cannot be cumulated (i.e. to make the two adjustments it is necessary to take last December’s salaries).

For those who receive the monthly salary, in March they will receive an adjustment of 20% (from February): in this way, the fifth category (and the most requested), those employed in general duties, will receive a salary of 231,860.40 dollars (for those with withdrawal) and $280,509.60 (without withdrawal).

It’s the first increase of the year: the previous increase had been 34% in September 2023 and was paid in three installments. With this percentage, private workers accumulated a wage increase of 154% last year against an inflation of 211.4%.

• Rentals

Although Javier Milei has already repealed the rent law, current contracts must be respected until they expire. This means that those who rented under the previous law will face increases of 165.5% per year.

As a result, all housing rentals that have been formally initiated between July 2020 and October 17, 2023 They continue to be governed by law 27.551.

March’s increase will set a new record will exceed 147.1% applied in February and 137.5% in January.

• Taxi

In March, the fare of Buenos Aires taxis will undergo a new increase in the value of their tokens. The second increase agreed by the Buenos Aires government It will be 30%.

In this way, the value of the token during the day will rise to 85.40 dollars and that of the flag drop – which has a price equivalent to ten tokens – to 854 dollars, while for the night the costs will be 102.50 dollars and 1025 dollars .

SN