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Argentina Retail Sales Lag as Credit Use Jumps and Delinquencies Rise, UBA Finds

The university’s study says more families are financing supermarket essentials on cards because pay gains trail price increases.

Overview

  • August readings show wholesale grocers down 8.4% year over year, while supermarkets posted a 0.34% annual uptick with a 0.23% monthly drop.
  • By July, wholesale sales were roughly 35% below the level at the start of the Milei administration and supermarket sales were about 27% lower.
  • Since December 2023, accumulated contractions reached about 21% in wholesale outlets and 9% in supermarkets.
  • Payment patterns shifted between December 2023 and May 2025, with credit cards rising from 39% to 45% of supermarket purchases as debit fell from 34% to 26%, cash from 20% to 16%, and e‑wallets increased from 7% to 13%.
  • Consumer‑credit delinquency climbed to 6.2% in July 2025, up 147% since the government began, and the UBA warns the trend is likely to persist given electoral volatility and skepticism over the economic plan.