"Despite a fall in inflation over the course of the year, and despite INDEC’s lower numbers compared with private estimates, Argentina’s 2014 inflation rate is bound to be far higher than the 10.9% INDEC announced for last year. Between January and August prices had already risen by 18.2%, according to the CPINu; Elypsis, a consultancy, is forecasting an annual rate of 38.5%."
A high level of inflation occurs when the government has the power over the central bank. There have been attempts to limit the power of the government. In the case of Argentina, there used to be a fixed monetary regime, a currency peg. It worked well to limit inflation. The problem was it worked too well.
That was deflation:
The monetary deflation should not be confused with the price deflation, although the latter may be caused by the former. Central bankers and academic economists, however, often fail to distinguish.