Argentina’s Economy Projected to Shrink by 3.1% in 2023: ECLAC
Economic Commission for Latin America and the Caribbean (ECLAC)
According to the Economic Commission for Latin America and the Caribbean (ECLAC), Argentina’s economy is projected to shrink by 3.1% in 2023. This is due to a number of factors, including the ongoing
COVID-19 pandemic, the war in Ukraine, and the country’s high inflation rate. The ECLAC report also notes that Argentina’s economy is expected to grow by 2.1% in 2024.
Factors Affecting Argentina’s Economy
- COVID-19 pandemic
- War in Ukraine
- High inflation rate
Impact of the Economic Contraction
The economic contraction is likely to have a number of negative consequences for Argentina. These include:
- Increased poverty and inequality
- Reduced access to essential services
- Increased unemployment
Government Response
The government has announced a number of measures to address the economic crisis. These include:
- Increasing spending on social programs
- Reducing taxes
- Expanding access to credit
Outlook for the Future
The outlook for the Argentine economy is uncertain. The ECLAC report notes that the country’s economy is expected to grow by 2.1% in 2024. However, this growth is contingent on a number of factors, including the resolution of the COVID-19 pandemic and the war in Ukraine.
Kind regards,
E. Thompson