Axel Kicillof: “We need to recover wages”

The governor of the province of Buenos Aires, Axel Kicillof, disagreed with a possible increase in interest rates by the Central Bank of the Argentine Republic (BCRA) after knowing the inflation rate that closed at 6.6% in February, and said: “we need to recover wages.” It is not a measure that seems very effective to me, but in any case what we need is the recovery of wages and incomes, and improve distribution, “said Axel Kicillof in dialogue with Destape Radio about the alleged measure that the BCRA would take against inflation. As it transpired, the monetary authority analyzes an increase in the reference interest rate after knowing the price variation of February after six months of keeping the rate unchanged. Inflation becomes a real social calamity when wages and popular incomes are delayed,” said the president and added: “As governor I think we need the recovery of wages and improve distribution,” and that “all measures are aimed at that,” he insisted. We have to have a comprehensive look at that and we have an economy minister who is looking for the best way despite international adversities, and now with a complex financial situation,” he said about Sergio Massa’s administration.For Kicillof, the head of the Economy Ministry “has taken many measures of different kinds” and “has the role of talking to all sectors.” Many said that high wages were the ones that gave inflation; Now there is growth and wages are not recovering, and prices continue to grow,” he said, adding that the other theory being heard was that of “monetary issuance and fiscal deficit.” Regarding those who express these theories, he said that they are “opinologists” who were “government ministers in the time of (Mauricio) Macri” and that from that role “they made a fierce adjustment at the time, indebted the country, lowered wages, issued a zero emission program and had 54% inflation, doubled inflation in those years. ” He added that “this week a US bank failed because in the United States they are raising the rate to control inflation” and ironized: “some may like to argue within a thermos, but the truth is that there is an international situation in the economic and inflationary field, and I do not say that inflation in the United States is like that of Argentina. But the world is with the problem of inflation and taking measures, which everyone fears are recessionary, and there is a controversy in the world of how to do it.”

Original source in Spanish