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Analysis by Region - Latin America - Argentina

Publisher Oxford Economics
Published Jun 23, 2022
Length 10 Pages
SKU # OFE17291383

Description

Analysis by Region - Latin America - Argentina

We upgraded Argentina’s GDP growth by 0.6ppt to 3.2% as data for early Q2 point to a robust recovery in the manufacturing sector while soaring inflation hints at economic overheating. We expect a slowdown in H2 2022 triggered by aggressive monetary tightening – the central bank has already raised rates by 14ppts this year. Yet expansive fiscal policies, such as higher wages, have backed consumption until now. We have cut our 2023 GDP forecast by 0.5ppt to just 0.6%.

Table of Contents

10 Pages
Argentina : Economic overheating raises recession risks
Forecast overview
Recent developments
Short-term outlook
Key drivers of our short-term forecast
Economic risk
Economic risk evaluation
Risk warnings
What to watch out for
Exposure to key global risks
Long-term prospects
Background
Economic development
Structure of the economy
Balance of payments and structure of trade
Policy
Politics
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