Cost of living in Argentina for foreigners improving?

[desde_Holanda]

Interesting article. It says that in 2024 overall prices in USD terms rose 67%, something every person that is calculating cost of living in a foreign valuta has felt. 2024 marked the end of ridiculously cheap living in Argentina for foreigners.

Now, it is expected that at the end of 2025 prices calculated in dollars will be 13% lower than at the beginning of the year. Given the strong euro against the dollar this year, this deflation will be even bigger in euros. Is Argentina on the way back to become more attractive again for people with a foreign income?

https://www.ambito.com/economia/estiman-que-2025-cerrara-una-deflacion-dolares-del-13-n6199457

 

[Ronnie Hotdogs]

Interesting article. It says that in 2024 overall prices in USD terms rose 67%, something every person that is calculating cost of living in a foreign valuta has felt. 2024 marked the end of ridiculously cheap living in Argentina for foreigners.

Now, it is expected that at the end of 2025 prices calculated in dollars will be 13% lower than at the beginning of the year. Given the strong euro against the dollar this year, this deflation will be even bigger in euros. Is Argentina on the way back to become more attractive again for people with a foreign income?

https://www.ambito.com/economia/estiman-que-2025-cerrara-una-deflacion-dolares-del-13-n6199457

Still expensive

 

[Jimbob]

I don't see any reduction in my shopping bill in pounds sterling.

 

[Che1990]

It’s definitely cheaper than a few months ago.

I went away at the end of May this year, dollar at about 1170, thinking about leaving for good (after 11 years here) as it was so expensive.

Got back end of August, dollar at 1350 and my perception is things are better. Not only that, prices had hardly changed over the winter in pesos, and - shock horror - are even less in many cases.

I remember, the night before I flew at the end of May, I ordered food on PedidosYa and there was nothing less than $15k. Now, there are lots of promos for around 8-9k.

Patagonia beer was always around $5k per 730ml bottle, now you find lots of promos for around $3500.

Starbucks home coffee, was always around 20k a packet, now you find lots of promos around 15k. (No doubt, this is also tax relief on imports)

I also needed to buy underwear before I left; back then there was nothing on ML for less than $18k. Now, you get boxers, not great quality but they are there, for 8-9k.(likely also imports)

I think reality is biting and Argentine businesses are realising they need to lower their margins to sell more, or risk dying - finally they are learning the word "compete".

Maybe, just maybe, the market is slowly sorting itself out and the reforms - including allowing for cheaper imports - are working to bring prices down in pesos.

But, my perception from taking 3 months away over winter, is that COL is less for sure in foreign currency, and not much worse in pesos. My other half, who earns in pesos, says food and stuff like is cheaper now in pesos, too - you have to find promotions, but there are more of them.

 

[carride]

Now, it is expected that at the end of 2025 prices calculated in dollars will be 13% lower than at the beginning of the year. Given the strong euro against the dollar this year, this deflation will be even bigger in euros. Is Argentina on the way back to become more attractive again for people with a foreign income?

https://www.ambito.com/economia/estiman-que-2025-cerrara-una-deflacion-dolares-del-13-n6199457

It has been a good few weeks to benefit when exchanging dollars for higher priced purchases. Because of the recent peso depreciation. Some other bargains of small luxuries when you make the effort to hunt for them. Restaurants are still over priced, and the weekly supermarket bill continues to be 3-4 times more than what it was in the years before 2024. Same for Health care, utilities, construction costs, and all daily living expenses.

 

[Rich One]

Interesting article. It says that in 2024 overall prices in USD terms rose 67%, something every person that is calculating cost of living in a foreign valuta has felt. 2024 marked the end of ridiculously cheap living in Argentina for foreigners.

Now, it is expected that at the end of 2025 prices calculated in dollars will be 13% lower than at the beginning of the year. Given the strong euro against the dollar this year, this deflation will be even bigger in euros. Is Argentina on the way back to become more attractive again for people with a foreign income?

https://www.ambito.com/economia/estiman-que-2025-cerrara-una-deflacion-dolares-del-13-n6199457

The article points out a dollar value of $1.551 for end 2025..? Willing to bet that the dollar will be much higher after the elections in October. WU rate last week was $1561.10 Ars per dollar.

 

[Warm_breeze]

No it's still insanely expensive

 

[desde_Holanda]

Interesting to get some mixed reactions on the official data. Reality (or perceptions?) often feels different. Matter of reference points? Personal situations?

 

[Rich One]

I think reality is biting and Argentine businesses are realising they need to lower their margins to sell more, or risk dying - finally they are learning the word "compete".

Maybe, just maybe, the market is slowly sorting itself out and the reforms - including allowing for cheaper imports - are working to bring prices down in pesos.

you have to find promotions, but there are more of them.

Is not in the genes, local merchants, won't lower prices/margins to "compete" Only will try promotions, 12 payments, 3x2, 70% discount on second unit, etc. Imports from Mercosur are currently priced perhaps 10 % below local prices, with higher margins.

It will play out like during Menem's period a sudden drop..!

 

[LuckyLuke]

I paid $23,000 for a burger and fries last week ($18).

That what you'll pay in Los Angeles where minimum wage is $16.50.

That means it takes 1.1 hours of labor to buy a burger in LA.

My cuñado here in Neuquen makes $14,000 an hour, so 1.6 hours to buy a burger. Sounds about the same right? Except that he's a school teacher with 25 years seniority making above average wages. You can forget minimum wage.

Long story short, prices are still absurd both in dollars and pesos.