As inflation soars over 250%, Sandra Boluch, a fruit and vegetable vendor in Buenos Aires, is observing a concerning trend: declining sales and an increase in customers scrounging for what she discards in the hopes of finding enough for a meal.
The South American nation is experiencing its worst economic crisis in decades, and the new libertarian-led administration of Javier Milei is attempting to combat triple-digit inflation with strict austerity. While this is helping the state’s finances, it is severely impoverishing the populace.
Milei’s reform proposals and spending cuts are under pressure to demonstrate results quickly as discontent smolders across the nation and individuals tighten their belts in an attempt to survive.
Laptops 1000A report released last month claimed that poverty was approaching 60% from 40% a year earlier.
“There are trash cans in the back where people dispose of their trash, and when you go with a box, you see 20 people coming up to you to see what they can take as a plate of food to their table,” Boluch said. She added that this had happened previously but that the number of individuals she was witnessing had increased significantly.
“The truth is that it’s something very tough, very sad because there are a lot of people and a lot of older people.”
Faced with an inherited crisis, Milei has implemented harsh measures to tackle it, such as drastic cuts to public spending, focusing on subsidies for transportation and utilities, and streamlining welfare programs.
In December, his government depreciated the peso by more than 50%, which increased inflation even further. All Argentines are feeling the pinch as prices, even in US dollars, have begun to rise.
“It’s really serious,” Boluch continued. “People are taking less amounts, their wallets are really hurting.”
The government is expected to reveal February inflation numbers later on Tuesday; the monthly increase is expected to be approximately 15.3%, compared to almost 20% in January and 25% in the previous month. There will be no annual decrease from 250%.
Laptops 1000Though the austerity measures have cut state pay, pensions, and public investment, Milei has stated that March might be “complicated” and the economic indications have looked dire, with falling sales, activity, and production.
“The impact of food costs is just brutal,” remarked 62-year-old Ines Ambrosini, who looks for discounts by shopping at wholesale markets.
“Everything, including food, fruit, vegetables, meat, and dairy products, is quite expensive. Attending these markets encourages you to be a little more frugal with your money.”
