With the lower interest rate of the Central Bank (BCRA)which brought the monetary policy rate to 50%, now also lowers the program rate Simple Feewhich allows financing with a rate subsidized by the State, also at 10 points.
The consumption incentive program, which is valid until May 31, will have a nominal annual rate of 50%, equivalent to an annual effective rate of 63.2% and a monthly rate of 4.17%according to official sources Ambit.
Besides, the Commerce secretary that drives, Pablo Lavigneworks on the details of what the relaunch of Simple Fee starting in June.
The use of credit cards for purchases in supermarkets is growing
The shopping in supermarkets with a credit card in the first quarter of the year they grew 29.38% compared to the same period in 2023, according to a report from payway. It was the highest percentage of escalation of acquisitions with that means of payment.
Other essential items that also registered increases in purchases with Credit cards were the service stations by 13.77% and pharmacies by 4.02%.
Retail sales drop
The extension of the program occurs in the middle of a sharp drop in retail saleswhich according to the Argentine Confederation of Medium Enterprises (CAME), In April it was 7.3% year-on-year and in the first quarter it accumulated a decrease of 18.4%. Although, in the seasonally adjusted monthly comparison, they rose 1.6%.
In April, six of the seven items recorded year-on-year drops in sales. The greatest annual retraction was detected in Perfumeries (-23.3%) and the only increase was in Textile and clothing (+8.8%), although it comes from a very low floor.
The program Simple Fee It contemplates a validity from February 1 to May 31, 2024. However, the Government is considering extending it for at least four more months.
In the details, the officials of Trade and Industryhe BCRAin conversation with companies and businesses.
Furthermore, after the drop in sales of the program due to the reduction in the number of installments (up to 12 and 18 vs. 3 and 6), the Government is now working on the possibility of offering 9 and 12 installments in areas such as appliances, white goods, motorcycles.
Source: Ambito
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