BUENOS AIRES, Feb 3 (Reuters) - Analysts consulted by
Argentina's central bank expect surging consumer prices to rise
slightly this year, the bank said on Friday, which would mark a
second straight year of near triple-digit inflation for South
America's second-biggest economy.
Consumer prices are seen rising by an annual rate of 97.6%
in 2023, according to the analyst poll commissioned by the
Argentine monetary authority (BCRA), compared to last year's
rate of 94.8%.
The bank's latest REM survey compares to a December forecast
of a 98.4% inflation rate by the end of this year.
The government of embattled President Alberto Fernandez sees
creeping annual inflation for 2023 significantly lower, at just
60%, according to a budget projection.
The survey's inflation forecast sees some relief by 2024,
however, with prices rising by 79.6%, but up from its previous
estimate of 75%.
Suffering through a prolonged economic crisis marked by a
massive debt load, chronic deficit spending and the steady
erosion of the local peso currency, Argentines live with one of
the world's highest inflation rates, second only to Venezuela in
Latin America.
Earlier this week, the BCRA announced it will roll out a new
2,000-peso bill, double the face value of its largest current
bank note.
The analysts surveyed expect January's inflation rate to
come in at 5.6%. The monthly rise in prices last December stood
at 5.1%, according to the official IPC price index.
Expectations of economic growth this year remain unchanged
at 0.5%, according to the survey, while the official exchange
rate is seen ending the year at 327.75 per U.S.
dollar.
That would mark a 74% weakening of the tightly controlled
official exchange rate, compared to its current value of about
188 pesos per greenback.
The REM survey interviewed 40 experts from Jan. 27-31,
including consultants, financial institutions and research
centers.
(Reporting by Eliana Raszewski; Editing by David Alire Garcia
and Sandra Maler)
Reuters Messaging:
david.aliregarcia.thomsonreuters.com@reuters.net))
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