The crisis in Argentina is worsening
by Dennis Thern | 18 Aug 2018 | Argentina | Translated
The crisis in Argentina is worsening.
The economic crisis in Argentina is worsening. Even though the situation improved slightly at the end of 2016 and in 2017, the percentage of poor has increased again.
Consumer prices rose 3.7 percent in June in Argentina, above analysts’ estimate of 3.6 percent in a poll, official data showed that this new information brought 12-month inflation to 29.5 percent, up from 26.3 percent in the 12 months through May.) For comparison, in the US the average for the last 2 years was 2.5%.
In April, the Argentine peso weakened while inflation began to go away. Purchasing power deteriorated radically in a short period of time. According to economic experts, purchasing power has not yet reached the bottom, the most affected are the poor, especially those in the countryside. In May, inflation was 5%, and also in June at the same levels. During the first six months of the year, inflation was 16%.
The price of flour increased by 25% in June. Bread 11%, cooking oil 12% and noodles with 7.5%. These sharp price increases mean that many can not afford basic goods anymore.
This makes more and more people searching for "soup kitchens or missions that provide food. Several of the donor organisations state that there has been an increase of up to 30% more people who visit or ask for sustenance food.
A new survey shows that 48% of all children in Argentina live in poverty. Operations Manager for Hope Star's work in Argentina, David Johansson, explains:
"Here in Chaco, where we work, the situation is very strained. We do everything we can to help those in our system. But it is difficult with higher prices, and more and more people need help. It's hard to see the children suffer. We do what we can but it is very difficult now. We need all the help we can get to assist the poor and vulnerable. We share food, provide warm milk with snacks, and provide educational opportunities. But we want and need to do more.
Hope's Star has been working in Argentina since 1972, including education, urban development, health, social assistance all based on missions work. We have helped tens of thousands of people from the minority group Toba (Qom) get better eternal lives.
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