June 26, 2022
Argentina's economy jumps 17.9% in the second quarter, recovering from the epidemic crisis - Ibuca Negosios

Argentina’s economy jumps 17.9% in the second quarter, recovering from the epidemic crisis – Ibuca Negosios

Argentina, mired in recession since 2018, is now trying to recover and resume its growth trajectory after the impact of the pandemic (Photo: David Fernández, via Agência Brasil)

Economie Argentina It jumped 17.9% in the second quarter year-on-year, above economists’ expectations, in a strong recovery after the major downturn it suffered in the same period in 2020, when the economy was grappling with the impact of the COVID-19 pandemic.

The annual rise was the highest in recent records for the country, a major exporter of grain and meat, and was above analysts’ average forecast of 17.3%. Compared to just the previous quarter, the economy shrank 1.4%.

The strong recovery was led by the construction sector, which was moving in the second quarter, said Lucio Garay Mendes, an economist at EcoGo Consulting, adding that growth was affected by the tightening of Covid-19-related restrictions in the quarter.

“This was the result of the intensification of restrictions on movement with the arrival of the second wave,” he said.

The average Reuters poll of 14 analysts indicated 17.2% growth, with estimates ranging between 14% and 18% increase in the April-June quarter.

Argentina, mired in an economic recession since 2018, is trying to recover and return to a growth path after the impact of the pandemic, which has severely damaged the popularity of the center-left government headed by Alberto Fernandez.

On Tuesday morning, the government revealed plans to ease restrictions imposed by the pandemic, including the gradual easing of what were strict border controls, in an effort to revive economic activity and boost its popularity among struggling voters.