Global News: Inflation in Argentina Reaches 288%, Tourism Affected

Inflation News: For some countries, inflation has become a cause of concern, one of them being South America’s second-largest economy Argentina. In Argentina, where inflation was 104% in March 2023, it has now reached 288%, heavily impacting the country’s tourism sector. Last year, Argentina earned about 3.2 billion dollars from tourism. The sudden rise in inflation can be attributed to the new policy of President Xavier Millet, i.e. a 54% currency devaluation. Due to this currency devaluation, the difference in official and equal exchange rates in Argentina is decreasing. 

Reason of Rising Inflation

For tourists, Argentina, Brazil, Chile, and other countries have become more expensive. It is said that in December 2023, Xavier Millay became the new president of Argentina. As soon as Millay came to power, he decided to drop the currency peso by 50 pcs and make it $800 per dollar to handle the economic emergency. However, the situation got even worse.