In Argentina’s stifled economy, one sector is booming: the pawn shops that buy up gold and other family treasures that many have to sell to pay their bills.
“When you’re drowning in debt, sentimentality falls by the wayside,” says Mariana, 63, who went to a gold-dealer center in Buenos Aires to sell a watch her grandfather had given her father as a graduation gift.
Annual inflation of about 270 percent has eaten away at her pension as a court worker, and she will use the money for housing costs and medical insurance arrears.
With the austerity-hit economy in recession and President Javier Milei making good on his promise to cut decades of government spending, Mariana — who asked that her last name not be given — is far from alone.
While a neighboring shoe store hasn’t had a single customer for hours, hundreds queue every day at El Tasador, one of the main cash-for-jewelry stores in the heart of Buenos Aires, where signs reading “We buy gold” are available in abundance.
“There’s been a lot of people lately, I think because of what’s happening in the country,” said Natalia, one of four appraisers at the store, who did not give her last name for what she called security reasons.
She said the increase in customers came from “people who maybe had pieces they weren’t planning on selling and decided to do so because they couldn’t make ends meet.”
Natalia said the company was inundated with more than 300 daily transactions – three times as many as a year ago.
“We have increased staffing and hours because we can’t cope.”
– Victorian jewelry and cufflinks –
Daniel, a 56-year-old unemployed accountant, enters several stores to have a silver key ring appraised, but leaves dejected. He was barely offered the price of a metro ticket.
“The situation is difficult. Life in Argentina is very expensive,” he told AFP.
Carlos, who manages a small jewelry store, says he has a steady stream of customers, but no one is there to buy anything.
“They bring everything in to be appraised, especially at the end of the month when the bills come in.”
Gemologist Natalia said her shop was visited by all social classes.
Although half of Argentina’s population now lives in poverty, it was once one of the richest countries in the world between the 19th and early 20th centuries, and many people have something valuable to pawn.
“The classic thing is the wedding ring, but they also bring Victorian jewelry from the ‘Belle Epoque’ that comes from grandparents and great-grandparents, unique pieces,” says Natalia.
Even a few decades ago, it was common for men to have gold cufflinks, or for women to receive a gold watch when they turned 15, she added.
“Gold has always been sold. What has changed is the reason why it is sold,” Natalia said.
“It used to be that I had to renovate a house, buy a car or throw a party. Nowadays it’s because ‘I can’t make ends meet,’ ‘my utilities have gone up,’ or ‘I’m out of work.'”
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