A private study revealed that most of the houses took debt since last year and are mostly allocated to food and clothing.
“Indebtedness in Argentina has ceased to be a transient tool to become a structural phenomenon “summarizes a private study conducted in all districts of the country, which revealed that in May 2025 the 91% of households had some type of debt. A similar study in August 2023 expressed that this index was given in 54% of houses.
The report made by the Institute of Social and Economic Statistics and Trends (IETSE) pointed out that “the growing use of credit for satisfy basic needs such as foodreveals an impoverishment of households that goes beyond the economic situation. Inflation, (stabilized today) but persistently high and a Notable fall in purchasing powerthey have been the cause of an income crisis that forces many families to live in a state of permanent financial emergency. “
Therefore, they consider that “households are trapped in a Difficult spiral to reverse “ And they ask “a redesign of public policies around formal employment, salary strengthening and access to credit in fair conditions“
Origin and Destination of Debt
The respondents said that most of the debt consists of their expenses with the credit card (30.5%), while others reveal to have taken it with Private services (10.5%), banking institutions (7.2%) and financial or lenders (2.1%). The indebtedness with the closest ones was also expressed in the request for trust in shops (8.8%) and family or friends (8.4%). As for unpaid services, the consulted pointed to taxes and expenses (8.5%); he rent (8%); public services (5.7%); Prepaid health (4.8%) and Private education (4.5%).
The study pointed out that expenses with the credit card are mainly allocated in Food (58%), clothing (15%), fuels (11%), taxes and services (8%) and appliances (5%).
Supermarket prices inflation consumption
Mariano Fuchila
While the origin of the bank debts had as its origin – on May 2025 – the card refinancing (34%), Personal credits (19%), prison credits (14%) and mortgage credit (6%). “Circular indebtedness is consolidated: bank loans are requested to refinance credit card debts. This dynamic shows sufficient lack of income and substantive solutions to cut the debt cycle,” said the IETSE.
Household debt: projection
The report also revealed that 65% of households have between 2 and 3 debts, 23% one and 12% more than 3 debts. Most indebtedness was taken in 2024 (73%)trend that decreased in 2025 (15%). Debts taken in 2023 or before (12%) persist.
When analyzing The total percentage of household income that absorbs debt payment28% allocates more than half, 52% spends between 30% and 50%, while the remaining 20% use less than 30%. In that framework, 52% believe that they can cancel their obligations during this year, While 18% project it for 2026 and 24% think it will be difficult to settle all of their debts.
Finally, 24% of Argentine households say they have regular debts, 48% entered the simple default and the 28% entered the judicial instance for breaching your obligations. As for unpaid debts, 15% admitted that their salary or assets have been seizedor that their bank accounts were blocked.
Source: Ambito
