Argentina says July inflation 0.8pc

BUENOS AIRES: Argentina's official inflation sped up slightly to 0.8 percent in July, the government reported on Monday, but private analysts said the real rate was about double that.

Twelve-month inflation through July was 9.7 percent, unchanged from June, the INDEC statistics agency said. However, analysts estimate Argentina's inflation at about 25 percent annually, one of Latin America's fastest rates.

Official inflation figures are widely discredited as being too low to reflect real price growth. Inflation was 0.7 percent in June, according to the INDEC.

A Reuters poll of analysts put July's official inflation at 0.7 percent. Respondents said consumer prices actually rose between 1.5 percent and 2.1 percent last month.

The disparity between private and official figures has sparked a government crackdown that includes large fines for economists who publish inflation figures that differ from the government's.

To protect local consultants from retaliation, opposition lawmakers have been releasing independent estimates.

The INDEC said the biggest consumer price gains in July were in apparel and leisure, which rose 1.9 percent and 1.3 percent, respectively. Prices for food and beverages, the most heavily weighted item, rose 0.8 percent.

Copyright Reuters, 2011