Consumption fell 1.7% in February according to the Argentine Chamber of Commerce

During the month of February, consumption experienced a slight advance compared to the same month last year but a decrease compared to the previous month. According to data from the Consumption indicator (CI) who analyzes the Argentine Chamber of Commerce and Services (CAC)Argentines’ level of consumption showed an increase of 0.8% year-on-year and a seasonally adjusted decline of 1.7% compared to January, when the usual seasonal effects are updated during the year.

This new indicator developed by the CAC shows changes in household consumption of goods and services finals on a monthly basis. “This weak year-on-year growth observed in February continues the process of decline of the consumption indicator since mid-2022 and its subsequent stagnation,” they explained from the camera.

“This dynamic is consistent with a macroeconomy in tension and with the purchasing power of Argentine households which posted a new contraction in the second month of the year. In fact, the CI was more than 1% lower than the pre-pandemic comparison in February,” they added.

According to the different items, we observe a shared dynamic of a slowdown in year-on-year growth from the second half of 2022, accompanied by the first negative signs in certain categories.

The clothing and footwear category recorded an estimated 16.8% year-on-year decline in February. It is a sample of the loss of dynamism throughout 2022 which has gradually increased, accompanied by a relative increase in prices for the sector in annual comparison. “The consumption of this category was more than 20% lower than the levels in force before the health crisis”, they detailed.

On the other hand, the category of transport and vehicles posted an estimated 3.2% year-on-year growth in February; however, it was at values ​​nearly 4% below pre-pandemic levels. “This comes as part of a decelerating and cooling industry that continues to this day, with car and motorcycle registrations barely up 1.8% and 3.3% respectively. year after year,” they said.

As, leisure and culture It is still showing significant growth rates, with an estimated 26.2% year-on-year increase in February due to the sharp drops caused by the pandemic and a slower reopening and recovery process than in other sectors. .

Regarding the part of housing, rents and utilities, showed an estimated 4.8% year-on-year increase in the second month of the year: more than 15% above pre-health crisis levels. In total, the rest of the positions identified by the CAC experienced an estimated contraction of 2 year-on-year in February and remained at levels lower by more than 5% compared to 2019.

According to another survey carried out by the chamber, during the two-month period January-February 2023, the number of empty premises in the main commercial areas of the Autonomous City of Buenos Aires recorded a drop of 28.3% compared to what happened in the same two-month period of 2022. However, compared to the previous measure , corresponding to November-December 2022, detected an increase in 32.2% of the number of empty commercial premises.

According to the Chamber’s measurement -which has been carried out since 2014-, which included the main commercial arteries of Buenos Aires, bimonthly advances were recorded in Cabildo (4800-5500) and Corrientes (200-6800) avenues. On the other hand, in Santa Fe Avenues (700-5300); Rivadavia (2000-2800; 4900-5400; 6300-7400; 11000-11600); Cordoba (4000-5300); and Avellaneda (2800-3800); Pueyrredon (0-1200); and on the Florida walking street there were fortnightly setbacks.

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