Skip to main content

Macroeconomic outlook report: Argentina

First quarter of 2019

During the first quarter of 2019, the Argentine economy continued to fall, registering a year-over-year rate of -5.77%, although this was 0.44 p.p. slower than in the previous quarter. This was due to the behavior of domestic demand, which continued to contract, but at a less pronounced pace than during the previous quarter. In the labor market, the unemployment rate rose by 1 p.p. from the previous quarter to 10.10%, while the year-over-year growth rate of employment fell by 0.47 p.p. from the previous quarter to -1.85%. In terms of prices, inflation stood at 51.77%, after an acceleration of 4.43 p.p. with respect to the previous quarter. Finally, the Argentine peso continued to depreciate to 39.06 pesos per dollar.

Macroeconomic overview

  • During 1Q19, Argentina continued its recession, registering a fall of -5.77%, although this represented a rate 0.44 p.p. above the previous quarter. This was due to the behavior of domestic demand, which reached a variation of -13.52% after reducing its pace of fall by 0.79 p.p.
  • In the labor market, the unemployment rate rose by 1 p.p. from the previous quarter to 10.10%. The year-over-year growth rate of employment slowed by 0.47 p.p. with respect to the previous quarter to fall to -1.85%.
  • In 1Q19, the Argentine peso devalued against the dollar, reaching an exchange rate of 39.06 pesos per dollar, 2.06 pesos per dollar more than in 4Q18.
  • During the first quarter of the year, the variation in the price index stood at 51.77%, after an acceleration of 4.43 p.p. with respect to the previous quarter.

For more information, click here to access the executive document in pdf (only avalaible in Spanish).

© GMS Management Solutions, S.L., 2019. All rights reserved. The information contained on this publication is of a general nature and does not constitute a professional opinion or an advisory service. The data used in this publication come from public sources. GMS Management Solutions, SL assumes no liability for the veracity or accuracy of such data.