Argentina is the G-20 country with the biggest decline in its economy, according to Moodys in 2020

On this point, the rating agency provided a projection similar to the monthly survey carried out by the Central Bank among consulting firms. Moody’s also estimated that by 2022 it will be 40%.

According to the survey, the Argentine economy had in 2020 a decline three times greater than that of the group of countries that make up the G20 and in turn, it will return to lower levels in 2021 and 2022.

“The G-20 economies will grow again in 2021”, analyzes the study but specifies that “the recovery will not be uniform” and in this regard, it specifies that in 2020 the drop in the GDP of the countries that make up the G20 is 3.3%, three times less than the 10% drop corresponding to Argentina.

Regarding the outlook for 2021, Moody’s sets 5.3% for all G20 countries and 5% for Argentina, while for next year, it forecasts respectively 3.5% and 2%. “We expect that the real GDP of all G-20 countries will increase from last year, but some countries will take longer than others to regain their full capacity,” he said.

In this sense, he underlined the “key role” that will play both the “political response” of the respective governments and “the management of the pandemic”, because beyond the possibility of mitigating the “The COVID-19 crisis will remain a challenge for the world’s economies.”

Inflationary projections differ from the 2021 budget, which was prepared on the basis of an estimate of 29% for the whole year. Moody’s projection matches the forecasts of most economists and consultants, with 50% for this year and 40% for 2022.

The global report pointed out that The United States to lead the recovery in global demand for services in 2021-2022 and that European economies will take longer to reach full capacity.

“Persistent virus fears remain the main risk of a recovery in demand,” he said, while warning that “The longer the crisis lasts, the greater the commercial risk”, in particular “for small and medium-sized enterprises”.