Consumption latest publications
Consumption in September is still weak, a behavior that is reflected in most categories. Debit cards are being used more often than credit cards, and for higher amounts. Based on data from the CPI-INDEC, we found evidence of a direct relationship between mobility and inflation.
In the second week of September, consumption reverses the upward trend that it had at the beginning of the month. The protests in some cities and the effect of lower spending on the celebration of love and friendship are slowing down the recovery in consumption this month.
Output fell in July by 11,7% YoY, a more moderate print than those observed in previous months, reflecting the gradual resumption of economic activity (phase 3 began in July).
September started without substantial changes in the general consumption dynamics with respect to August. “Millennials” increased their spending during the pandemic at the same time that ATM cash withdrawals by those over 65 years of age contracted in quantity and increased in amount.
In the last week, consumption increased due to the beginning of a new stage of isolation in the country called "selective isolation". This allowed the opening of new sectors such as restaurants, gastrobars, air and inter-municipal transport and hotels, among other activities.
August ended with a significant overall drop in card consumption by our customers, both for goods and services. Fuel consumption anticipates a calm in the rebound of activity. At the same time, there are fewer ATM withdrawals but higher than in the pre-pandemic situation.
In the last week, consumption, especially of services, had an additional impulse by a opening of sectors in some cities. At the regional level, Bogotá and Medellín have shown a good performance since the beginning of the opening plans, but cities with more tourism, such as Cartagena, continue to be the most affected.
September 4, 2020
Financial vulnerability of households facing COVID-19 pandemia: A global perspective
Lockdowns due to COVID-19 and the subsequent crisis have caused many individuals to stop working or substantially reduce their work hours, with the corresponding decrease or loss of the main source of income. The analysis of the financial vulnerability of households becomes especially important.