Argentina's Macrisis: Income poverty rises to 35.4%, highest in 14 years

[sandensea]

Argentina's Statistics and Census Institute (INDEC) reported today that income poverty rose to 35.4% in the first half of 2019.

The rate increased 3.4% from the second half of 2018, rising to its highest level since the first half of 2005.

A family of four needed to spend 28,957 pesos ($679 at the time) a month to remain above the poverty line in the first half of 2019.

Extreme poverty - those earning less than 40% of the poverty line - rose by 1% to 7.7%, the highest since 2007.

Income poverty was highest in the Northeast (42.4%), and lowest in the City of Buenos Aires (14.3%); poverty was highest among children (52.6%), and lowest among seniors (10.4%).

The nation's income poverty rate has jumped 9.7% since late 2017 - before the April 2018 collapse of a carry-trade debt bubble known in Argentina as the "financial bicycle" plunged the country into its deepest recession since the 2001-02 convertibility crisis.

The 'bicycle' collapse forced President Mauricio Macri to turn to the IMF for a record, $57 billion bailout; but of the $45 billion lent so far, an estimated $36 billion were ultimately used to finance capital flight.

GDP has since fallen 6.9%, with unemployment rising from 7.2% to 10.6% - the highest since 2006. Those with jobs have seen real wages erode 13.8% as inflation rose from 25% in 2017 to 55% this year.

Income poverty now affects 15.9 million of the country's 45 million people. Since Macri took office in late 2015, some 4.3 million Argentines have joined the ranks of the poor.

The crisis has also affected Argentina's sizable middle class: So far this year, real retail sales are down 12.5% and new auto sales are down 44.7%.

At: https://translate.google.com/translate?hl=en&tab=wT&sl=auto&tl=en&u=https%3A%2F%2Fwww.ambito.com%2Fgrave-la-pobreza-salto-al-354-y-ya-afecta-casi-16-millones-argentinos-n5057391

A cartonero, or recycler, combs the streets of Buenos Aires' financial district with his children.

In a bid to downplay his elitist image, President Mauricio Macri promised voters "zero poverty" during his 2015 campaign; "I want my administration to be judged by the poverty rate," he reiterated in 2016.

One in ten Argentines has instead fallen into poverty since 2015 - a sharp reversal from the 114% growth in the middle class reported by the Inter-American Development Bank in 2015, over the previous 12 years.

[Judi Lynn]

1. . . . "I want my administration to be judged by the poverty rate," said Macri, the candidate.

So how's that goin' for ya, Mauricio?

What horrifying statistics, and seeing $36 billion of a borrowed $45 billion actually being used (and repaid later by the people, to finance capital flight is insane. No one could stop them, no one capable of preventing it beyond Macri.

He has hurt Argentina so badly. He should really be thrown into prison, instead of merely being voted out of office (with any luck, that is), God forbid he can fix things (cheat) to be re-elected.

Surely hoping these numbers are widely known inside the country, sandensea. Hope they won't simply be relying on news sources like Clarín. How can he even bear to show his gnarly face in public? Shame on that thief.

Thank you for a good look at the facts. Much appreciated.