Sustained poverty fall will prove elusive in Argentina

Significance The sharp decline, mainly driven by slowing inflation, probably continued in the last months of 2024. However, the rate remains high and structural poverty has an estimated floor of 25%. Impacts Given the rapid decline in inflation during 2024, further falls will not be the driving factor in future poverty reduction. High structural poverty, dependence on public health and education and the cost of social aid will challenge the zero deficit policy. High levels of poverty among children and deteriorating living conditions will undermine human capital, reducing future potential.