Argentina · MARKETS
Key Facts
- —Country risk JP Morgan indicator fell to 506 basis points on Friday 21 August 2026
- —Arrears 17.5% of individual credit portfolio in June 2026, per Universidad Austral and Eco Go
- —Supermarket sales down 3.1% year on year in June 2026, per INDEC
- —Merval index closed up 1.3% on the same Friday
- —President Milei said government policy is not to blame for arrears
Even as investor confidence improves, Argentine households are falling behind on loans and spending less at supermarkets.
Argentina country risk fell to 506 basis points on Friday, even as bad debts climb. The JP Morgan indicator dropped from 535, a three-month high reached the day before, according to Reuters.
Argentina Country Risk Drops Back
Argentina country risk fell to 506 basis points on Friday 21 August 2026. That is down from 535 on Thursday, which was a three-month high.
A basis point is one hundredth of a percentage point. So 506 basis points means investors want about 5.06 percentage points more yield to hold Argentine debt than US government debt.
Markets React Positively
Meanwhile, the S and P Merval index closed up 1.3% on the same Friday. Public bonds traded over the counter rose 0.7% on average.
The Merval is the main share index of the Buenos Aires exchange. In short, investors seemed to welcome the lower risk.
Live Market IntelligenceArgentina — Live Market Board
Rio Times · Live Market Intelligence
Argentina — Live Market Board
+1.30%
171,031.73
+1.85%
65,223.89
+1.36%
11,338.38
+0.89%
2,913,184
+1.30%
2,459.23
+0.61%
58,698.13
+2.60%
| Instrument | Last | Change | YoY | Prev. | High | Low | Volume |
|---|---|---|---|---|---|---|---|
| MERVAL | 2,913,184 | +1.30% | +30.51% | 3,022,485 | 3,042,365 | 2,991,150 | — |
| USD/ARS | 1,493 | +0.10% | +12.96% | 1,491 | 1,494 | 1,480 | — |
| YPF | 7,810 | +0.26% | +72.84% | 7,790 | 7,850 | 7,600 | 1,763,858 |
| GGAL | 6,980 | -0.78% | +1.82% | 7,035 | 7,115 | 6,920 | 1,564,062 |
| PAMPA | 5,115 | +0.69% | +26.70% | 5,080 | 5,140 | 5,000 | 721,190 |
| TXAR | 747.50 | -2.35% | +18.67% | 765.50 | 770.00 | 742.50 | 771,892 |
| ALUAR | 938.00 | -1.21% | +29.83% | 949.50 | 951.00 | 932.50 | 135,426 |
| TGS | 8,870 | -0.17% | +15.05% | 8,885 | 9,075 | 8,720 | 143,546 |
| CEPU | 2,156 | +1.84% | +28.36% | 2,117 | 2,165 | 2,086 | 404,146 |
| MIRGOR | 1,650 | -1.20% | -92.90% | 1,670 | 1,670 | 1,635 | 20,877 |
| COME | 40.93 | -0.73% | -30.47% | 41.23 | 41.60 | 40.50 | 4,258,884 |
| LOMA NEGRA | 3,130 | +0.08% | +5.80% | 3,128 | 3,205 | 3,090 | 182,992 |
| BYMA | 275.00 | -1.70% | +35.14% | 279.75 | 282.50 | 272.00 | 1,409,575 |
| TELECOM ARG | 4,233 | -0.70% | +55.19% | 4,263 | 4,335 | 4,160 | 31,896 |
| GLOBANT | 38.10 | -2.26% | -49.65% | 38.98 | 38.70 | 36.77 | 793,552 |
| MERCADOLIBRE | 1,870 | -3.59% | -20.71% | 1,940 | 1,927 | 1,870 | 329,640 |
Arrears Climb to 17.5%
However, arrears reached 17.5% of the credit portfolio to individuals in June 2026. The figure comes from a Universidad Austral and Eco Go study using central bank data.
Arrears means loans where the borrower has fallen behind on payments. That covers bank and non-bank lending, measured as a share of the total amount of credit to individuals.
Mercopress reported it on 16 August 2026.
Supermarket Sales Fall
In addition, INDEC, the statistics agency, recorded supermarket sales at constant prices down 3.1% year on year in June 2026. Sales also fell at wholesalers and shopping centres.
So far in 2026, supermarket sales are down 2.8%. El Destape reported it on 21 August 2026.
Government Responds
President Milei spoke to business leaders at the 142nd anniversary of the Rosario stock exchange on Friday. He said there are no grounds to blame government policy for what is happening with arrears.
Security Minister Patricia Bullrich said the government knows some sectors are going through a difficult moment. Her comment was published on 21 August 2026.
What Falling Risk Means
Argentina country risk falling to 506 is a positive sign for the government. It suggests investors are slightly more confident about holding Argentine debt.
Still, the rise in arrears and falling supermarket sales show ordinary people are struggling. Therefore, the overall picture remains mixed.
Household Strain
Arrears at 17.5% of the individual credit portfolio is a high number. It means many Argentines are behind on their loan payments.
For example, supermarket sales dropping 3.1% in June points to weaker consumer demand. As a result, households are cutting back.
Investor Confidence vs Reality
By contrast, the Merval index rising 1.3% suggests stock investors are optimistic. Yet the arrears data tells a different story about the real economy.
Even so, lower country risk could help the government borrow more cheaply. That might ease some pressure.
What Argentina Country Risk Signals Next
Overall, Argentina country risk at 506 is a milestone, but challenges remain. Bad debts are climbing, and consumer spending is weak.
In short, investors and households are seeing different realities. The coming months will show which trend wins.
Frequently Asked Questions
What is Argentina country risk?
Argentina country risk is a measure of how risky it is to hold Argentine debt compared to US government debt. It is measured in basis points, where one basis point is one hundredth of a percentage point.
How much did Argentina country risk fall?
Argentina country risk fell to 506 basis points on Friday 21 August 2026. That was down from 535 on Thursday, which was a three-month high.
What does 17.5% arrears mean?
Arrears means loans where the borrower has fallen behind on payments. A study found that 17.5% of the credit portfolio to individuals was in arrears in June 2026.
How are supermarket sales doing in Argentina?
Supermarket sales fell 3.1% year on year in June 2026, according to INDEC. They are down 2.8% so far in 2026.
Connected Coverage
Sources: Reuters; INDEC; Universidad Austral and Eco Go; Mercopress.
This article was produced by The Rio Times’ automated newsroom system. How we use AI · Report an error
In depth
Read More from The Rio Times