In a statement issued by the Argentine Confederation of Medium-Sized Enterprises (CAME), its president Alfredo Gonzalezwarned that the increase in the interest rate of the Now 12 program “will limit consumption.” In turn, the business leader valued the continuity of the program and recalled that this tool that allows payment in installments “It is essential to sustain consumption in the commercial sector”.
Now 12: the government will continue with the program, but with higher rates
In this sense, González pointed out that “although inflation is high, consumption has shown signs of recovery until a few weeks ago and the increase in the rate in a key instrument such as Now 12 can affect this process“.
From CAME they expressed the need to maintain “active vigilance” in consumer financing programs “in order to ward off recessionary forecasts” and called for “continuing to strengthen the internal market.”
Now 12: “The only financing tool”
In the forceful statement, CAME made it clear that at this time Now 12 is the “the only financing tool available to retail trade throughout the country“. However, the same entity put cold cloths and clarified that: “The Resolution has not yet been published in the Official Gazette, so we will provide more specifications about it when this happens.”
At the same time, they specified the reasons why the portfolio wants to modify the rates based on “achieving exchange stability.” A measure that the CAME calls into question when describing that this changeor is it going to “slow down the incipient recovery” and “which currently impacts 30 production and service sectors“.
“The renewal includes significant increases in the interest rates that consumers pay. Up to 12 installments, the rate will go from the current annual nominal 33% to an annual nominal 42%, while plans with 18 and 24 installments will cost 49% nominal annual rate from the previous 38%,” CAME specified in this statement.
You may also like