Kicillof announces the new Consumer Price Index next Thursday
Argentina, February 7, 2014
On Thursday, the INDEC will announce the new price indicator to replace the Consumer Price Index (CPI), whose percentages were changed since the intervention of the agency in 2007. Thus, it will take effect the Urban Consumer Price Index (IPCNu). The Economy Minister Axel Kicillof aims to gain credibility and to use it as a reference in the wages discussions.
Amid a sharp devaluation process, which slowed in recent days, the minister should restore the credibility of the INDEC to negotiate wages on March.
The new index will be monitored by the International Monetary Fund and 23 provinces.
Kicillof met with union representatives UPCN, INDEC workers who defended the intervention, and asked them to avoid conflicts. On the other hand, he met with union members of ATE- INDEC, critical to the intervention for seven years. He took note of their complaints and promised further meetings.
There is still lack of information on the new index. The Government had promised the IMF less than 20% inflation for October but the new index, which includes increases in fuel and transport, wouldn’t be able to disguise the numbers.