Argentina Joins In
As the word spreads on Blockchain and the huge benefits that can be generated from this latest technology, Argentina tries its luck.
The Argentinian Central Bank has taken a little while to get on board and realise the potential of Blockchain but it is finally there and is now hoping that this new technology will be able to assist with the country’s national inflation figures increasing. The bank is not entering into this lightly either. It has already ordered 42 books which are on fintech in general although many of these books discuss Blockchain in great depth. It is great news that the bank is doing its research before entering into the digital economy. There have been many in the past that have not taken these careful steps and time to consider the impact of the new generation of finance. This has only caused unnecessary challenges and delays in implementing the system successfully.
The Argentinian bank really did need to do something innovative to release them from their 30% inflation rate. Drastic measures were certainly called for that is for sure. Although there will be many in the country who disagree with this new approach, the bank and the government really had to do something to help the country and pull it through these dark high inflation days.
Argentinians Are Struggling
The country and it’s residents are really struggling with the increasing inflation prices. Argentinians are finding it difficult to make ends meet and even being able to afford food is becoming a huge daily challenge. Although the problems are nowhere near as bad as they were two years ago when inflation hit 47%, the country is still drowning. Salaries have not caught up to where they should be and people are having to deal with a very low disposable income constantly. At the moment, prices are increasing every single month but sadly salaries are not rising at the same rate and the Argentinians are really facing an uphill battle. The government hasn’t helped either by taking away subsidies that were aiding the general public. There is no longer support on power, gas and water like there used to be. The removal of these subsidies has has a hugely negative impact on people. In a bid to support the community, bakers are actually giving away bread for free because people simply cannot afford to buy it. However, if inflation prices continue to go up then bakeries will soon go out of business because their own costs are also rising.
The Government’s Plan
Although the latest President came into office and took over the high inflation rates from the previous government, he has been desperately trying to improve things for the country. His plan is to make the necessary changes gradually so that Argentinians can keep up without unnecessary shock moves.
It is not known yet whether Blockchain will be able to bring Argentina through the tunnel and into the light but what is important at this stage is that at least the Argentinian Central Bank is doing something about it. Hopefully the latest in technology can do the necessary and the country can enjoy the sunshine again soon.