Introduction: What is the economic situation of Argentina? Why is the interest rate rising above 41%? I. What is the economic situation of Argentina

According to the data released by Argentina, the economic situation of Argentina has improved. Affected by COVID-19 epidemic and economic development, Argentine food prices have been on the rise recently. However, many people in Argentina said that they simply can't afford the living expenses now. Many people are dissatisfied with the increasingly expensive food prices, because many people have no jobs because of the epidemic, but the rising prices have put great pressure on their lives. There are many people who basically rely on food for their livelihood, and there are many places where there is a food shortage. The data shows that the price of fruit in Argentina has increased by 228%, and the price of vegetables has increased by 88%. Second, why did the interest rate rise above 41%

Because of the inflation rate in Argentina, the interest rate rose to 41%. Coupled with Argentina's relatively small foreign exchange reserves, capital controls are not strict. If there are some problems, it may lead to a shortage of funds. At this time, interest rates will rise. Therefore, some people may want to deposit their money in some foreign banks, because 41% interest rate may be very attractive to many people. However, although Argentina's deposit interest rate is very high, its potential risks are also particularly large. Third, what do we think about this matter

Although the interest rate in Argentina is very high, the exchange rate of Argentina or the US dollar may continue to fall, which is risky at this time. And for Argentina, there may be some debt risks. If the money is put in, there may be a phenomenon that it can't be taken back after it expires. Therefore, when saving money, don't covet high interest rates, because high interest rates are accompanied by higher risks. You can put your money in a more secure bank, which can reduce a lot of risks.