The fifth month of the year brought an increase in the value of train and subway tickets, in the context of other increases in fuel, basic services and rents, among others.
He inflationary context of Argentina has shown signs of deceleration in March, with a rate of 11%, but it is still high when considering the year-on-year trajectory. Since January, accumulated inflation continues to challenge the economic goals of the government, which has promised to progressively reduce these indices. The persistence of high levels of interannual inflation, exceeding 287%put Argentina at the top of the annual price increase, above Lebanon and Venezuela.
The Buenos Aires subway reflected a significant increase in its rate, applied in three sections during May and June:
- May 1st: the fare rose from $125 to $547.
- Middle of May: another adjustment will be made until reaching $667.
- June 1st: the ticket will reach $757.
In the case of trains in the Buenos Aires Metropolitan Area (AMBA), tickets experienced an increase of 53.85% distributed as follows:
- Section from 0 to 12 kilometers: will go from $130 to $200.
- From 12 to 24 kilometers: from $169 to $260.
- More than 24 kilometers: from $208 to $320.
The month of May also saw an increase in fuel prices due to tax adjustments and other economic factors:
- Tax on Liquid Fuels (ICL): The increase was postponed since, according to the minister Luis Caputothe reduction of the consumer price index was prioritized given the comfortable fiscal surplus achieved in the first quarter of the year.
- Estimated percentage impact: An approximate increase of 4% in final prices is estimated, with specific variations by type of fuel.
In addition, there were other increases:
The rates for these services will undergo an adjustment that will range between 10% and 20% depending on the provider and the type of service contracted. This increase will affect both internet and mobile phone and cable services.
Rents are not exempt from increases. With the repeal of the Rental Law and the change in regulations:
- Increase according to ICL: Rents that were under the previous law will suffer an increase of 221%.
- New contracts: For those signed after the repeal, the adjustment will be according to the market and the particular conditions of each contract.
Private schools in the province of Buenos Aires will apply a 6.7% increase in their fees, with variations depending on the educational level and state subsidy:
- Garden with 100% contribution: up to $17,500.
- Secondary with 40% subsidy: up to $102,500.
Users of these services will see significant increases due to adjustments in production costs and seasonal changes that increase demand:
- Gas: Between May and September, the price of gas per million BTU will rise from USD 2.94 to USD 4.49.
- Electricity: A doubling of the cost of MWh is anticipated during the winter, with monthly adjustments according to a formula that includes several economic indicators.
This outlook for increases reflects the economic challenges the country faces as it attempts to stabilize the economy while striving to keep inflation under control.
