Central Banks

Argentina Cuts Rates to 50% as Milei Wrestles Inflation Down

  • Borrowing costs have been reduced five times since December
  • Government aiming to tame prices and clean up balance sheet

Pedestrians outside the Central Bank of Argentina in Buenos Aires.

Photographer: Anita Pouchard Serra/Bloomberg
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Argentina cut its key interest rate for the third time in three weeks as officials bet on a sustained slowdown in consumer prices and race to shrink the central bank’s interest-bearing liabilities.

Policymakers lowered the benchmark rate to 50% from 60%, according to a statement released Thursday that cited a significant easing in price pressures over recent months.