Argentina: July to September change in USD prices is insane.
Posted by F_Reddit_Election@reddit | expats | View on Reddit | 46 comments
Background: aformer US expat married to an Argentine; we dlive in Argentina 3-6 months out of the year.
The prices of just going out to a restaurant is now very similar to the USA even in what’s considered a “working class town” in greater BA.
Dollar blue is quickly becoming not even a thing anymore. You could get 1500 pesos for a dollar in early July and not it’s closing into the official rate. It’s still better than the official rate at ~1250 but that’s drastically different from when my last child was born when it was a 100%+ difference on dollar blue rate.
ON THE BRIGHT SIDE: My in laws USD conversion salary over doubled the past year. They can finally afford to travel to us in the USA.
LoyalteeMeOblige@reddit
Yeah, welcome to my country. I have to visit next week and the amount of trouble you have to go as to not be screwed in the currency mayhem is difficult to explain to newcomers.
deepuw@reddit
You get MEP exchange rate on a Visa debit card. I recommend you take that, a mere 100 pesos less, and avoid all headaches. It's well worth it.
LoyalteeMeOblige@reddit
Too late honestly, I already created the Belo account, even my brother is going to give me an addition on his visa but still, I hope not to have to return until 2026, I'm super stressed about going back, if albeit only to meet friends and relatives, there.
deepuw@reddit
Relax, you'll love it. It may take a couple tours, but what I realized years ago is that if you take the economic stress out of the equation (as in, making money abroad and not in Argentina), the Argentina experience is very different from how it was when growing up here. People are good, warm and generally speaking, more prone to wanting to have fun. A part of me feels dead inside every time I return to the USA. Enjoy bud, you'll be fine!
LoyalteeMeOblige@reddit
Mmh, I don't know whether I agree with your statement, perhaps it has a lot to do with the fact I emigrated 2 years ago, and I was very angry with the country, and the whole situation. Now I can tell it was the bed decision I did, and but for the fact my family and friends are still there I guess if I could move them all here, I wouldn't visit again. I miss little things but not the overall experience of being stress and alert 24/7.
deepuw@reddit
For whatever is worth, I felt the same when I left, something like 20 years ago. I resented Argentina for many years, I felt that I could blame the governments for not having the opportunities I had abroad, and that made me choose between the people I loved and money.
In my personal case, that feeling went away. I would never attempt to work or make money in Argentina. I enjoy everything else though.
LoyalteeMeOblige@reddit
Maybe one day I will get where you are but I'm not even close, I still feel that rejection very hard. And it is not going to change any time soon.
deepuw@reddit
I'm Argentinian and live abroad. I warned people in this sub of the Argentinian cycles before... What's happening is nothing new, in the 90s, some upper class Argentinians went to Miami for cheap vacations compared to prices in the Buenos Aires coast. With a stable USD Argentina's economy falls on the expensive side, always. Most Argentinians can't afford Argentina, the squeeze effect will lead to another change of party sooner or later, sometimes over elections, sometimes because people go in and destroy Congress. Then the other known part of the cycle begins.
All this being said, I'm visiting Argentina (straight from the US) and I don't think prices are equal to the US right now. Some things are even more expensive than in the US (seems that to enjoy Argentinian wonderful ice cream one can't spend less than 6 USD a lb now) but the majority of staples seem cheaper in USD. Yesterday I bought 7 lbs of asado (beef ribs) for 20 USD. Go try to do that in the US and tell me how it goes.
LoyalteeMeOblige@reddit
I think OP means daily prices but still going out and rent is cheap but yes, it is a ticking bomb as per usual.
deepuw@reddit
Crazy. Not sure where OP is going, but I'm seeing 17k pesos for all-you-can-eat parrillas. Where in the US does one go to a steakhouse for $15 bucks, let alone all-you-can-eat and Argentinian beef quality??
Perhaps they went out to La Cabrera and got spooked by a 250 USD bill??? That'd be hardly representative of Argentina as a whole though.
F_Reddit_Election@reddit (OP)
Local parrillas are great which are in fact 17k pesos. You are GROSSLY missing the point here though, but it’s fine. Enjoy this beautiful country and these wonderful parrillas like I do living half the year here!
All love, sorry to tickle your tummy negatively for an economic point you couldn’t understand. Don’t go to bed mad please ❤️
deepuw@reddit
You didn't make me mad. Your comment seems like projection to me or coping with the fact you have a contending opinion. Perhaps you base some of your personality on being in Argentina and your gringo friends think you're very worldly and a dissenting opinion on the topic is not well received. You'll be fine.
In fact I don't disagree with your OP, last year I was paying 38 cents a liter of gasoline, prices more than doubled in USD in Argentina for some things. The part I disagree with is saying that it's almost like the US. I split my time in both places, and travel the US extensively, and in an apples to apples comparison of restaurants even some of the most expensive places in Argentina are still way cheaper. Heck even a 250 USD bill at Don Julio could be over 1k in the USA.
mdabwt917@reddit
The US is a big country with 50 states. For example gas in Seattle is $4-5 USD a gallon while gas in Dallas is $2-3 USD per gallon. You can get $15 meals in the US and you can also choose to eat $250 meals too. You cannot compare our country to yours at all.
deepuw@reddit
I feel you're missing the point, however, I'll reply. I live in the USA and travel all over it for 3 months each summer, so my sampling is not focused in a single city. Tell me where you can have an all-you-can-eat Argentinian steakhouse for $15, send us the link so we can check the menu. I'll wait.
F_Reddit_Election@reddit (OP)
Exactly. I live here 6 months out of the year in a working class town to be close to my in laws. Not realistic.
LoyalteeMeOblige@reddit
La Cabrera is a tourist trap in all but name nowadays, same goes for Cabaña Las Lilas, I know since I'm used to be concierge in Buenos Aires back in the days. I think the main issue is the economy is getting stable-ish... or more than it was, last year was a bomb, about to explode: the K and Massa's plan "platita" made sure of it, and Milei avoided it but the country has some issues running altogether, that they cannot be fixed either quickly or fine at the same time. It does take effort, and patience and our fellow compatriots love magic (peronist) solutions that never ever work.
Rent is fine if you earn in a hard currency but even so, people think it is easy to live that mess day to day, where you are always hiding from a greedy State that has never not run on a deficit, I mean, I have to open a criptocurrency account just because I am going there! It requires me to move my money from one bank to another, then to this app, and it is so stressing while here I just pay by debit card and I'm done.
Every one of my relatives and friends I talk to they live in a constant state of anxiety, and that is what living in Argentina entails and I don't miss at all.
Guru_Salami@reddit
How do price increases effect Argentinians?
Standard of living is better now or 12 months ago
Human_Buy7932@reddit
Argentinians that I know personally here don’t get until the end of the month with their salaries. They say that the last 10 days of the month is in survival mode.
Basdala@reddit
minimun is not avarege, 300 to 400 dollars is a standard rent in a decent aparment outside tourist areas.
soytuamigo@reddit
Comparable to central Europe where you live and frequent. Needless to say that's not where most of the can afford to live.
LoadIllustrious9078@reddit
It's because the new argentine president decided to fix the economy
hedgefundpm@reddit
Note to all: Argentina is done. It's so over.
Human_Buy7932@reddit
It’s insane, I pay for groceries here more than in Copenhagen and food prices are the same as in Central Europe in areas like Recoleta, Palermo, even Villa Crespo. 5-6 weeks ago it’s still was more or less doable, but while prices keep rising, blue dolar goes down. Prepare to pay $6 for a slice of cake in a neighbourhood cafe.
deepuw@reddit
Argentina is best enjoyed by keeping your suitcase ready to go in a month's notice. If you're in Argentina for the long haul, know that it will get cheap again, just like it will be expensive again. Argentina runs on cycles, during pro market cycles it gets expensive. This is how it is, some of us have seen enough to know it by now.
Extra tips: buy real estate in Argentina only if it'd be money you'd be throwing away in rent back home in a similar time frame as your plans, and plan not so be able to sell easily. Do not ever open a bank account in Argentina for anything too serious. Do not ever base your whole economy in Argentina. Do not believe any government, ever.
Enjoy empanadas, some of the nicest people, crazy mountains, deserts, jungles, plains, rich cultures, passion, etc... and always be ready to leave in a heartbeat (as well as to go back!).
Human_Buy7932@reddit
Yeah I am leaving next months. Beautiful country but unfortunately with this prices just doesn’t makes sense for me to be here, maybe will come back in couple of years.
deepuw@reddit
I visit from the USA, so I still have quite some runway before I start feeling prices "sting". I also come to Argentina for reasons beyond it "being cheap", so regardless of prices, I'd come either way.
If it helps in any way, know that high prices are not sustainable for long in Argentina. When things are not sustainable, something always pops in Argentina, and the cycle continues. Good luck and perhaps we see you again around here!
F_Reddit_Election@reddit (OP)
I wouldn’t say it’s done as it’s a beautiful country filled with amazing people.
But to live in a “cheap” place where the dollar/euro goes a long way… it’s done.
Celebrate for the people who actually lives there though.
My BIL is making $100 USD a day selling car batteries when it was insane just to make $30 a day a year ago.
No-Tip3654@reddit
So the argentinian economy is doing better as in the middle class is having more disposable income than before?
Gardening_investor@reddit
Not according to all the Argentinians I am friends with, no.
soytuamigo@reddit
I have an Argentinian friend and according to him things are still tough economically or that's what I've gathered from him since inflation is still high. He and I have different politics so we don't talk too much about it I just know whatever he let's slip out from time to time. Dollar rate could be improving for them and the economy still suck (for now anyways).
Gardening_investor@reddit
Yeah, the Argentinian friends I have are struggling with costs. Even with US$ paying jobs. Everything is more expensive and all the measures the government had in place to protect workers and people were stripped away in favor of privatization. They are struggling to make ends meet, so I’m not sure why I’m getting downvoted for sharing what I am hearing from people living there.
deepuw@reddit
I think that some people struggle to understand that any situation will have losers and winners, regardless of which country you're talking about. This is the same in Europe and in the USA. If I ask "is the US economy good" I will get a different answer from someone investing in the stock market than a single mother relying on government assistance and seeing prices rise since the pandemic.
So, the question about Argentina doing better or worse will naturally be answered differently by different people. In your friends' case, they probably may be negatively affected by the relaxing of labor laws. In the case of people running businesses, they will potentially benefit from these changes.
Back in the 90s you had people driving Ferraris in Buenos Aires, and my grandpa had to survive on a $200 a month pension after a life of factory work. Both situations can co-exist and will vastly affect the opinions of different people.
Gardening_investor@reddit
And that somehow justifies downvoting reality?
deepuw@reddit
Not sure. But you're using that word "reality". That's my point.. reality is not the same for different people. Some people may not be able to see beyond their own nose and so what you're describing as reality, in their experience is not a thing. So they downvote.
Gardening_investor@reddit
Reality to some is reality still. Perception is reality, that’s a saying for a reason. My friends are struggling to make ends meet in Argentina because of the new policies. That is reality, to them.
Eric848448@reddit
No but having inflation less than four digits will help.
rpnye523@reddit
Well kind of, this is all foreign exchange rates not necessarily domestic purchasing power
soytuamigo@reddit
Wait, so that's it? A couple of years of a new govt and Argentina is back from the brink? Sounds made up lol, what happened? For the record I've got nothing against Argentina's new govt and I'm not invested in one way nor the other I'm genuinely curious. Glad things are working out for Argentina if that is the case.
Guttersnipe77@reddit
Child poverty rate is something around 65%. The number of beggars have increased dramatically. Pensioners are pretty fucked.
The new tax forgiveness deal has seen a lot of $'s being brought back from overseas accounts which has had a big effect on the blue rate. Additionally, rising costs have forced a lot of people to sell their dollars.
We'll see what happens when/if we get rid of the cepo.
LV2107@reddit
Yes. I moved here in 2020 and while inflation has always been an issue, the last 12 months or so have been insane.
Everything is at least double, sometimes triple what they used to be. It used to be that with the blue rate, you could kind of keep up with inflation but that is no longer the case.
travlzrneeded@reddit
You are conflating changes in FX rates with inflation to a large degree.
imaginarynombre@reddit
Restaurant prices approaching US prices seems hard to believe. Can you share some prices that you've encountered recently?
forreddituse2@reddit
This new government seems accomplished something.
analog_subdivisions@reddit
...it's almost like if you rein in wasteful government spending, you curb inflation and stabilize the economy without negatively affecting the "sOciAL sAfeTY nET"...Americans take note...
HomeThese5645@reddit
Sounds like Argentina's inflation rollercoaster is giving expats serious whiplash
F_Reddit_Election@reddit (OP)
For sure. Dollar blue was a complete enigma. Balancing with the official exchange rate happened so quickly.