The retail price index in Argentina rose 6.6 percent in February compared to January and exceeded 100 percent in 12 months, according to data from the statistical institute Indec published on Tuesday.

Inflation reached 102.5% last year, which is one of the highest records in the world. although it is a phenomenon chronic after almost 50 years of sharp increases in the cost of living in Argentina. In the first two months of this year, consumer price growth reached 13.1 percent.

The general level of retail prices will rise by 100 percent this year, according to the latest survey of expectations published by the Central Bank based on reports from the country’s largest banks and private economic consultancies.

President’s government Alberto Fernández estimated a much lower annual rate in the national budget for 2023, 60%.

“The item with the highest frequency at the general level in February was Food and non-alcoholic beverages (+9.8%), mainly due to an increase in the frequency of meat and dairy products,” the INDEC report said.

The economy minister, Sergio Massa, renewed in February a voluntary agreement on “fair prices” with supermarkets and companies for food, hygiene, clothing, telephony, education and other items, to reduce the indexation of the economy, with an expected increase of 3.2% per month until June on about 2000 products.

In 2022, the retail inflation rate reached 95.8%.

Agreement with the IMF

The International Monetary Fund (IMF) announced on Monday that its technical staff had reached an agreement with the Argentine government on the fourth review of the South American country’s aid package, paving the way for the disbursement of about $5.3 billion.

On March 25 last year, the IMF approved an aid program for Argentina in the total amount of 44 billion dollars for 30 months.

“Prudent macroeconomic management in the second half of 2022 supported stability and helped, with some margin, to secure the program’s objectives,” the IMF said in a statement.

The deal is “subject to the approval of the IMF’s executive board, which is expected to meet in the coming weeks” and “after the review is completed, Argentina will have access to approximately $5.3 billion,” the details said.