Overview
- Econviews says “the dollar is in charge,” noting authorities tolerated higher and more volatile short‑term rates to keep the exchange rate steady.
- The Central Bank resumed net dollar purchases at the start of the year, accumulating more than US$560 million by January 15.
- The government covered roughly US$4.2–4.4 billion in bond maturities using a US$3 billion repo, local placements and asset sales, avoiding IMF funds but draining liquidity and leaving net reserves under pressure.
- A Banco Provincia study warns monthly inflation may not drop below 2% in the first half due to the exchange rate path, rising service prices, a new CPI basket, higher fuel taxes and potential subsidy cuts.
- Official data show December inflation at 2.8%, while private trackers point to 2.5%–2.7% monthly readings, challenging the 10.1% full‑year target.