Inflation in the City slowed down again: it was 2.1% in May and added its second monthly drop

For the second consecutive month, inflation in the City of Buenos Aires slowed and reached 2.1% in May. In April it had been 2.5% and in March it was 3%.

According to data from the Buenos Aires Institute of Statistics and Censuses, the City’s CPI accumulates in the first five months of the year a 14% increasewhile the interannual trajectory was located at 33,1%, which represents 0.7 percentage points above the previous month since in May 2025 average inflation had been just 1.6%.

On the other hand, due to the rise in food prices, the poverty line increased by 2.8%. In April food prices had increased by 1.4%.

The lower average inflation in May was due to the behavior of the prices of goods and services Seasonal which averaged a rise of just 0,1%.

“Mainly due to increases in vegetable prices, which were offset by falls in air ticket prices, hotel accommodation rates for tourist reasons, and fruit prices. In year-on-year terms, it accelerated to 19.7% (+4.4 percentage points),” the report noted.

On the other hand, the prices Regulated increased the 2,8%due to the increases in the fees for prepaid medicine (3.3%) and educational establishments (initial level, prprimary and secondary) (3.1%).

Next in importance were updates to the bus ticket and water rates (3%). Regulated prices lead, accumulating 20.1% in the first 5 months and 40.9% year-on-year.

Meanwhile, Passenger transport by rail increased 5.5%, with a year-on-year increase of 57.1%. “Thus, this aggregate accelerated its rate of increase to 40.9% year-on-year. (1.5 points compared to the previous month).”

*Food and non-alcoholic beverages registered an increase of 2,8%. The main boost came from Vegetables, tubers and legumes (14.5%). They were followed in importance by Milk, dairy products and eggs (3.7%) and Bread and cereals (2.6%), while there was a drop in Fruits (-3.4%). Meat and derivatives increased only 0.5%.

*Housing, water, electricity, gas and other fuels averaged an increase of 2,2%due to increases in rental values ​​and common housing expenses, along with adjustments in residential water supply service rates.

*Health increase 3,0%mainly impacting the updates in prepaid medicine fees (3.3%).

*Education rose 3,1%due to increases in fees for formal education establishments.

*He rest of the divisions had a positive, although minor, impact on the general level. For example, clothing and footwear they increased 0.4%.

Thus, during May the variation in Buenos Aires inflation responded fundamentally to the increases in Food and non-alcoholic beverages, Housing, water, electricity, gas and other fuels, Health and Education, which together explained 64.9% of the increase in the General Level.

By Editor