Buenos Aires. The gross domestic product (GDP) of Argentina – the third largest Latin American economy – fell 1.7 percent in the second quarter of this year compared to the previous quarter, and with this third consecutive contraction the recession deepens in the South American country, where Construction, manufacturing and commerce are the most affected sectors.
The decline is also 1.7 percent compared to the same quarter last year and 3.4 percent if the semester is taken into account, showed the data released by the National Institute of Statistics and Censuses (INDEC).
The data accompany one of the highest inflations in the world, of 236.7 percent annually recorded in August, in a country where half of the population is poor.
The South American country has thus accumulated three negative quarters, taking into account that in the fourth quarter of 2023, the collapse was 2.3 percent.
After his inauguration in December 2023, President Javier Milei made an adjustment to state spending, sharply cut public works, reduced and eliminated state agencies, suspended financing for the provinces, fired thousands of public employees, deregulated prices and eliminated subsidies.
“Managing is not administering the State. “To manage is to shrink the State to magnify society,” said Milei in a speech in the national Congress this Sunday, when he presented the draft budget for 2025.
Among the activity sectors, the annual declines in construction stood out, which collapsed 22.2 percent; the manufacturing industry with a drop of 17.4 percent, and wholesale, retail and repair trade activities, which fell 15.7 percent.
For its part, after the 2023 drought, the thriving agriculture, livestock, hunting and forestry sector grew 81.2 percent annually; the fishing sector increased 41.3 percent, the exploitation of mines and quarries 6.6; domestic service 3.7 and the electricity, gas and water sector rose 2.8 percent, among others.
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– 2024-09-29 08:00:27
