The consumer price index rose 3.8% in December

The index of consumer prices (CPI-Cost of Living) registered an increase of 3.8% last December and accumulated a rise of 50.9% throughout 2021, reported the National Institute of Statistics and Censuses (Indec).

In December, the item with the greatest increase was restaurants and hotels (5.9%), driven by higher demand related to the lifting of traffic restrictions and a higher level of tourism; followed by alcoholic beverages and tobacco (5.4%), mainly due to the rise in cigarette prices.

In general, in December the rise in food and non-alcoholic beverages (4.3%) was the one that had the highest incidence in all regions. In this item, the division that contributed the most was meats and derivatives and, to a lesser extent, bread and cereals and milk, dairy products and eggs.

In the accumulated of 2021, for its part, the item that increased the most was restaurants and hotels, with an increase of 65.4%; followed by clothing and footwear (64.6%), transportation (57.6%) and alcoholic beverages and tobacco (55.1%).

Below the average of 50.9% were homes, water and electricity (28.3%), communications (35%), recreation (45 /%) and food and beverages (50.3%).

The 3.8% increase in December was above the 2.5% registered in November and determined that the year ended with a difference of 14.8 percentage points compared to the end of 2020, when the accumulated was 36.1 %.

Compared to 2019, inflation in 2021 was 2.9 percentage points lower, since that year it stood at 53.8%.

In December, core inflation was 4.4%, compared to 3.3% in November, while the prices of Seasonal products rose 3.7%, led by clothing and tourism.

Infographic (Télam)

For their part, regulated prices increased 1.7% monthly, compared to 1% in November, with increases in tobacco and electricity and public transport at the provincial level.

During the last month of 2021, inflation was driven by food and non-alcoholic beverages, which marked an advance of 4.3% per month, compared to 2.1% in November.

In the latter case, increases were verified in all items, with the exception of fruits and vegetables.

In December, transport also marked a significant increase, in this case of 4.9% per month, compared to 2.2% in November, driven by the prices of vehicles and increases in public transport in some districts, among them the related to tourism.

Prices related to the Restaurants and hotels division also rose sharply, with an increase of 5.9% compared to 5% in November.

On the other hand, among the items that rose the least, was Health, with an increase of 0.5% compared to 2.4% in November, based on the stability registered in medicines by the agreement reached by the Government with laboratories.

In the accumulated annual, the inflation of 50.9% was explained by items in the rise of 50.3% verified in Food and Beverages; 55.1% in Alcoholic Beverages and tobacco; and 64.6% in Clothing and footwear.

In Housing, water, electricity and gas, an item that measures the rates of these sectors -with regulated prices-, the rise was 28.3%; while Household equipment and maintenance rose 46.6% throughout 2021.

Based on the Indec report, the prices of goods increased an average of 53.7% in 2021; and services marked an increase of 44.2%.

The Indec also measured that the products or services considered Seasonal rose 50.1% throughout the year; the regulated, 37.7%; and Core Inflation, 54.9%.

After the Indec released the December numbers, from the Palacio de Hacienda they assured that “within the framework of a rise in prices at a global level, the Government continues to work to align expectations of prices and wages for 2022 “.

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