High prices in dollars deter foreigners and fuel Argentine holidays to Brazil.

From Financial Times, Argentina’s economic crisis fuelled a tourism boom last year as cheap steak, wine and shopping lured foreigners, but the rapid appreciation of the peso under libertarian President Javier Milei is now deterring some visitors and sending even locals bargain-hunting abroad.

The number of tourists spending at least one night in Argentina fell 20.2 per cent in the six months to November compared with the same period in 2023, while the number of Argentine residents exiting soared 37.7 per cent, according to data from the national statistics agency published on Monday.

Tourism, one of Argentina’s fastest-growing industries, accounted for 8.8 per cent of GDP in 2023.

The Argentine peso has appreciated by more than 40 per cent against its trading partners’ currencies this year in real terms, as the country’s triple-digit inflation raised prices in pesos and Milei kept the official exchange rate mostly steady.