Argentina inflation rate falls to 2.1 percent in May

Argentina's consumer prices rose 2.1 percent in May from the previous month, the lowest monthly increase in eight months, government statistics showed Thursday. The monthly figure marks the second straight decline after prices climbed at a faster pace in prior months. Communications recorded the largest increase at 3.4 percent, followed by education and food at 2.5 percent.

Annual rate edges higher The annual inflation rate reached 33.2 percent in May, up slightly from the prior month. The increase occurred because the May 2025 reading had been unusually low at 1.5 percent. The government statistics agency INDEC released the data. Economy Minister Luis Caputo described the monthly result as the lowest in eight months.

Credit rating upgrade S&P Global raised Argentina's sovereign credit rating to stable B- from CCC late Wednesday. The agency cited the government's record of meeting debt repayments. The upgrade leaves the rating several notches below investment grade. Officials said the change supports efforts to return to international capital markets six years after the country's ninth foreign debt default.

Economic conditions Monthly inflation has remained above 2 percent since May 2025, outpacing wage growth in many sectors. Unemployment has risen as some domestic manufacturers reduced staff amid increased imports. A cabinet chief admitted Wednesday to holding $500,000 in previously undisclosed savings and cryptocurrency holdings.

The admission followed an investigation into travel and property purchases.