The Argentine government announced yesterday a series of measures to curb inflation. The measures are focused on eliminating refunds for food exports, investment incentives through labor cost reduction, and a slowdown of consumption with an increase of spreads that will raise the financial system's interest rates.
Economy Minister Roberto Lavagna met President Nestor Kirchner and announced the measures yesterday. The move prompted criticism from exporting sectors and uncertainty among analysts regarding their efficiency to hold price inflation, which has hit 9.8% since January.