Russians Choose Argentina’s 100% Inflation Over War

[MilHojas]

Russians choose Argentina’s 100% inflation over Putin’s war

Buenos Aires is providing an unlikely haven for middle-class Russians who have given up on their homeland.

www.batimes.com.ar

 

[Rich One]

Well surprise the Ukrainian war has hit Home now here in Argentina..!

When the war started it was feared only that international fuel prices and grains would go up, which would somehow benefit Argentina's exports, in the long run. Surprise now the Russian immigrants in BA have created havoc with apartment rentals availability, increasing demand and rental prices . Now for the most part in dollars..!!

 

[steveinbsas]

Surprise now the Russian immigrants in BA have created havoc with apartment rentals availability, increasing demand and rental prices . Now for the most part in dollars..!!

Small wonder, as many of the Russian "immigrants" are now able to buy garantias from Argentina financial institutons using their foreign income, without having any Argentine income (based on info I recently received from an insurance agent I know who is helping them buy the garantias)

 

[steveinbsas]

When the war started it was feared only that international fuel prices and grains would go up, which would somehow benefit Argentina's exports, in the long run.

Please correct me if I'm wrong, but when the war started, inflation in Aregntine was about 50% and increased to 100% by the end of the year, while agricultural exports were curtailed because of low crop yields, making it impossible to take advantage of the international price increases.

So, I wonder if the conclusion is warranted that the inflation rate "doubled" as Argentina had to "create" more money than ever to meet its financial obligations, especially to the vast number of Argentines who rely on the governmet for most (if not all) of their financial support.

I'm sure that's not the only reason, so, as always, aditional input will be appreciated.

PS: I hope the Russians are prepared for a greater than 100% inflation rate in the future...perhaps much greater in the next year alone, but they seem to be very happy with the cost of living here and not terribly concerned about "projected" price increases in the future (as they buy the garantias to rent apartments using thier foregin income).

I think it's safe to say that here in Argentina, they feel more optimistic about actually having a future.

 

[Rich One]

Please correct me if I'm wrong, but when the war started, inflation in Aregntine was about 50% and increased to 100% by the end of the year, while agricultural exports were curtailed because of low crop yields, making it impossible to take advantage of the international price increases.

So, I wonder if the conclusion is warranted that the inflation rate "doubled" as Argentina had to "create" more money than ever to meet its financial obligations, especially to the vast number of Argentines who rely on the governmet for most (if not all) of their financial support.

I'm sure that's not the only reason, so, as always, aditional input will be appreciated.

PS: I hope the Russians are prepared for a greater than 100% inflation rate in the future...perhaps much greater in the next year alone, but they seem to be very happy with the cost of living here and not terribly concerned about "projected" price increases in the future (as they buy the garantias to rent apartments using thier foregin income).

I think it's safe to say that here in Argentina, they feel more optimistic about actually having a future.

Are you aware of orgs. that sell Garantias without local income ?. It's good to know in case?

 

[steveinbsas]

Are you aware of orgs. that sell Garantias without local income ?. It's good to know in case?

Yes, but I don't know thier names. An independent insurance agent told me about them.

She trold me two things about the Russians:

They have "significant" income.

They don't like to speak Spanish.

I already knew that have no desire to serve in the military.

At least I can say that I have one thing in common with them.

 

[Rich One]

Yes, but I don't know thier names. An independent insurance agent told me about them.

She trold me two things about the Russians:

They have "significant" income.

They don't like to speak Spanish.

I already knew that have no desire to serve in the military.

At least I can say that I have one thing in common with them.

Very true what you mention, I showed an apt to a Russian lady that spoke only Russian , we could only communicate through the voice translator on her the mobile.

 

[Bajo_cero2]

Please correct me if I'm wrong, but when the war started, inflation in Aregntine was about 50% and increased to 100% by the end of the year, while agricultural exports were curtailed because of low crop yields, making it impossible to take advantage of the international price increases.

So, I wonder if the conclusion is warranted that the inflation rate "doubled" as Argentina had to "create" more money than ever to meet its financial obligations, especially to the vast number of Argentines who rely on the governmet for most (if not all) of their financial support.

I'm sure that's not the only reason, so, as always, aditional input will be appreciated.

PS: I hope the Russians are prepared for a greater than 100% inflation rate in the future...perhaps much greater in the next year alone, but they seem to be very happy with the cost of living here and not terribly concerned about "projected" price increases in the future (as they buy the garantias to rent apartments using thier foregin income).

I think it's safe to say that here in Argentina, they feel more optimistic about actually having a future.

Russians works on foreign currency. They do not buy garantias. They pay overpriced apartments when they arrive and later they buy real estate.
Seems that the AR harvest is now cheaper for foreign markets, i do not buy the print explanation.

 

[steveinbsas]

Russians works on foreign currency. They do not buy garantias.

All of them?

They pay overpriced apartments when they arrive and later they buy real estate.

That's exactly whatI thought was happening, but I have learned that there are execeptions, and some Russians want to sign long term leases and pay reasonable rents. They have enough foreign income to live in Argentina, but not enough cash to buy real estate.

Unfortunately, they are now dealing with the same problem others face which has been caused by the Russians who "pay overpriced apartments when they arrive."