You are currently viewing Inflation effect: 625,000 people are poor in the City of Buenos Aires

The national government reported this Tuesday that in May the Total Basic Food Basket cost almost $100,000. Within 24 hours of knowing this information, the City of Buenos Aires (CABA) published a study on the rate of povertywhich indicates that around 625,000 porteños continue in that condition. In other words, two out of ten inhabitants of the Federal Capital are poor, as an extension of the delicate situation as a result of the 2020 quarantine and which goes hand in hand with the latest rates of inflation.

The survey, which analyzes the outlook for the first quarter of 2022, was carried out by the Institute of Buenos Aires Statistics. It reflects an economic recovery, but at the same time that the poverty rate in CABA at the end of the first quarter of 2022 was 20.3%. This represents a drop of 1.3 points in relation to the previous period. If compared to the same period in 2021, the reduction is 6.2 points.

The worst socioeconomic situation in CABA was experienced in the midst of the mandatory quarantine due to the coronavirus pandemic, when in the second quarter of 2020 a third of the inhabitants had fallen into poverty. But from that point and after the recovery of activity, work and wages began a recovery process that reduced that percentage to 13.3 points.

The other side of the coin shows that we are still far from what was the best scenario in the third quarter of 2015, when 13.6% of Buenos Aires residents were poor. This is the first official poverty data that is known for the year, since at the national level it is evaluated every six months and the National Institute of Statistics and Census (Indec) will disclose it at the end of September with data to June.

indigence and employment

Meanwhile, 5.9% of the Buenos Aires population is in a condition of indigence, that is, 182,000 people (already included in the total poor), which represents a year-on-year drop of 3.5 points. In relation to the fourth month of 2021, there were practically no changes in the measurement of indigence. Always according to official information, the improvement of the social condition is linked to an advance in the labor market and in income.

“In the first quarter of 2022, employment continued to rise (50.4%) and expanded above activity (55.3%), so the unemployment rate contracted (8.7% of the population active, about 148,500 people are looking for a job and are available to start work but do not get it)”, says the work. In parallel, the average labor income grew year-on-year (66.3%), as well as the mass of recipients.

Non-work income

To this is added that “non-labor income also increased (69.7%), although the number of recipients was reduced to a historically low level.” Meanwhile, there were increases in retirement and pensions (66.5% on average) and in other monetary transfers from the State such as the Universal Child Allowance (52.7%), granted through the National Social Security Administration ( anse).

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J. A. Allen

Author, blogger, freelance writer. Hater of spiders. Drinker of wine. Mother of hellions.

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