What I'm Seeing in Buenos Aires. 🇦🇷
Boots on the ground update with prices from the middle-class suburb I've lived in for over one year.
Is the Iconic Geoarbitrage Still Here in Argentina?
My very first Substack article, which arguably attracted initial interest to my publication, was titled “It's a Good Life in Argentina”.
It focused on how prices were stupidly low in USD for a very high quality of life.
So, has that changed? The short answer is, yes.
Even today, I discuss this with people who simply do not realise how inexpensive Argentina was when I first arrived here, over a year ago.
Before coming to Argentina, I was in Peru, where I thought the cost of living was affordable, and indeed, it was.
However, what I encountered upon arriving in Argentina took me completely by surprise.
In my first few days in a neighborhood visually similar to Salamanca in Madrid, I recall my first steak at a parrilla in the Palermo neighborhood.
The restaurant looked top-end. I didn’t care, I was only planning on staying a couple of weeks in Argentina, and whatever the steak was going to cost I was happy to pay it.
At the time I just pulled out a big stack of $200 ARS bills I had just got from the Western Union, paid the bill then proceeded to work out what it cost me later on.
$10.
Then I went to the supermarket and grabbed a few items which I thought would cost me a fortune.
I honestly thought I had stolen the items when I worked out what I paid afterward.
This prompted me to change all my plans and figure out a way to stay here, permenently.
Not just for the low prices, I love the atmosphere, the steak, and of course the people/girls.
In other words, Buenos Aires ticked a lot of boxes for a single lad in my situation.
What’s the flip side of all this? Well, I’ll briefly touch on it here, with a more in-depth discussion to follow at the end of this article.
In Argentina, a range of items can be difficult to find, as the national industry has been protected to an extreme degree.
Supermarkets, in general, are shit.
The real challenge comes with purchasing electronics, clothes, and essentially anything imported. These items are pricey due to hefty import taxes and tariffs.
This setup could be manageable when the benefits of geoarbitrage outweigh the need for a wide variety of choices.
However, the situation is far from what it was just one year ago.
In this article, I want to talk about some of the price discovery I’m experiencing with the cost of living here, with some local context from my girlfriend and a close friend.
Some on-the-ground observations from the rapidly changing political, social, and pricing environment.
And, most importantly, I'll answer the question that's on your mind, at least from my perspective.
Is it still worth a visit or moving to Buenos Aires permenently?