Economy

Argentina 2021 economic growth forecast raised to 7.2%: central bank survey

Latin America's third-largest economy has suffered from high inflation for several years and has been in recession for three years

Argentina growth economy
Pedestrians walk in front of a currency exchange shop in downtown Buenos Aires, Argentina September 3, 2019. Photo: REUTERS/Agustin Marcarian

Argentina‘s economy will grow 7.2% in 2021, analysts said in an Argentine central bank poll published on Friday (3), an improvement on their forecast last month of 6.8% growth.

Inflation in 2021 is seen at 48.4%, 0.2 points percentage above last month’s estimate, according to 42 respondents to the Market Expectations Survey (REM) by the Argentine central bank on Aug. 27-31.

The analysts saw inflation at 2.8% for August.

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Latin America‘s third-largest economy has suffered from high inflation for several years and has been in recession for three years. These economic woes deepened since the 2020 COVID-19 pandemic.

The poll participants predicted the average nominal exchange rate in Argentina will be 105.75 pesos per dollar in December, and 154.5 pesos per dollar by December 2022.

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