Buenos Aires. The economic activity of Argentina – the third largest Latin American economy – contracted 1.3 percent in July and led to a drop of 3.1 percent in the first seven months of the year, reported the National Institute of Statistics and Censuses (Indec).
“In July 2024, the monthly estimator of economic activity (EMAE) recorded a drop of 1.3 percent in the annual comparison,” the organization noted in a report. The EMAE benchmark is considered an important indicator, since it advances the trajectory of the gross domestic product (GDP).
The accumulated decrease during 2024 compared to the accumulated decrease in the same period of the previous year was 3.1 percent, added Indec. Compared to the previous month, economic activity increased 1.7 percent.
Ten of the 15 sectors measured by Indec experienced an annual decline in production. The largest decrease was seen in construction, which declined 14.8 percent, followed by fishing, which decreased 9.9 percent. The manufacturing industry also decreased 5.6 percent, as well as wholesale, retail and repair trade, which fell 5.3 percent.
These last two segments, together with construction, subtracted 2.1 percentage points from the annual growth of the economy.
On the other hand, the greatest increase was recorded in agriculture, livestock, hunting and forestry, which increased 23.6 percent. A positive impact was also confirmed in the exploitation of mines and quarries, which improved 5.7 percent.
The Argentine economy shrank 1.7 percent in the second quarter compared to the same period of the previous year, in a context of recession caused by the adjustment of public spending and the liquefaction of income to contain inflation and achieve fiscal surplus, two government priorities.
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– 2024-10-05 20:30:31
