The Argentine government, led by President Javier Milei, celebrated July’s inflation, which was 1.9% and fell to 36.6% in 12 months, according to data released by the Consumer Price Index (IPC), on Wednesday (13).
Economy Minister Luis Andrés Caputo celebrated the percentage pointing out that for the third month in a row the inflation was below 2%, something that had not happened since November 2017.
The monthly result represents a small rise compared to 1.6% June, and 1.5% in May – this, the lowest of the last five years. The accumulated index in 12 months of 36.6% represents a low compared to 39.4% last month.
Caputo also celebrated the July data, pointing out that the inflation accumulated in the first seven months of 2025 was 17.3%, the lowest for the period of the year since 2020.
The IPC also registered an increase in wage rate, which recorded this month an increase of 3.0% over the previous month.
Throughout the management of Milei, self -titled “liberal libertarian”, inflation data has been celebrated monthly by its low values. In December 2023, when the president took office, the monthly rate was 25.5%.
Since he arrived, the Argentine agent has been implementing strong changes: he interrupted the transfer of money to the states, paralyzed federal works, withdrew subsidies to water, gas, light, public transport and essential services, which at first increased consumer prices, but since January 2024, the country has been registering low inflation.
Added to this, the country adopted a process of privatization of state -owned companies, reduced bureaucracy and taxes and ended the currency controls.
The economy has been growing: in the first quarter of the year, GDP rise was 5.8% compared to the same period in 2024.
The agent is praised by economists around the world. Matthew Lynn, columnist for the British newspaper The Telegraph, published in July a text that mentioned the country ruled by the Libertarian President as an example of rationality in a world of economic uncertainty.
“When will the rest of the world wake up to the Argentine miracle?” Lynn wrote.
“While France abolished bank holidays to keep the titles markets happy, while the chancellor [do Tesouro britânico] Rachel Reeves struggles to fill the latest ‘black hole’ in the country’s accounting books, and while even the US title market is concerned with Federal Reserve’s independence [Fed, o banco central americano]a country – and one very unlikely – is receiving an increase in the classification, ”said the columnist, mentioning the recent elevation of Argentina’s grade with the Moody’s risk rating agency.
