They claim Argentina is among the countries with the greatest economic recovery in the region

After Argentina’s economy shrank 9.9% in 2020 from the previous year, its biggest drop in nearly two decades and one of the biggest in Latin America amid a downturn global activity, A report by the Argentine Institute for Fiscal Analysis (Iaraf) showed that the country is among the countries with the strongest recovery in the region in the first half of 2021.

“If we consider the first half of 2021, we see that the strongest recovery takes place in Peru (20.9%), followed by Argentina (9.7%) and Chile (8.8%)”, The study pointed out.

The study indicated that in June of this year, the economies considered experienced an average growth of 15.3% year-on-year, returning to activity levels of June 2019.

The Iaraf recalled that for this year, The International Monetary Fund (IMF) forecasts growth of around 5.8% and 3.2% by 2022. And he added that the international credit body has warned that the global recovery can happen at two speeds, depending on the degree of access to vaccines countries have.

In this context, he indicated that in 2020 economic activity in Latin America and the Caribbean contracted by 7% while stressing that the greatest negative impact took place during the months of April and May. , due to restrictive measures applied by governments.

According to the Iaraf, Among the countries considered, the smallest drop in the first half of 2020 took place in Brazil (-6.1%) and the largest in Peru (-17.4%). And he claimed that the negative impact of the pandemic and the restrictive measures applied by governments focused on the two-month period April-May 2020.

“The largest decline occurred in Peru (-35.7%) and the smallest in Brazil (-14.3%) and Chile (-14.6)“, He detailed. Likewise, he claimed that the simple average of the six economies was -21.1% and that a sustained recovery process began later, which saw some decrease in the second quarter of this year, due to the impact of the new waves of the pandemic.

If we consider the first half of 2021, we see that the strongest recovery takes place in Peru (20.9%), followed by Argentina (9.7%) and Chile (8.8%)

At the same time, the study indicated that in June of this year, the economies under review experienced an average growth of 15.3% year-on-year, returning to activity levels of June 2019.

Remember that the Minister of the Economy, Martin guzman, he assured that Argentina is experiencing a “strong economic recovery process“Which led to the portfolio leading to an upward modification of its growth projections for this year.

Through a message recorded as part of the 18th edition of the Conference of Latin American Cities in Buenos Aires, the meeting organized by Society of the Americas Council of the Americas (AS / COA) and the Argentinian Chamber of Commerce and Services (CAC), the minister reviewed macroeconomic figures which indicate a recovery after fall 2020 and said that these variations “do not come out of nowhere, but are the result of concrete economic conditions. policies in which the state has played a very active role ”.

“We recently updated our projections for economic growth, in particular gross domestic product growth, from 7% for the year 2021 to 8%. At the same time, we are seeing growth in investment. The investment increased by 6.1% in the first quarter of the current year without seasonality compared to the last quarter of 2020 and 38.4% was the year-to-year change in real terms, ”Guzmán pointed out.

The Minister of Productive Development mentioned the same line a day ago Matias Kulfas during an event organized by the Argentine Institute of Financial Executives (IAEF).

“We were forecasting 7% growth for this year and we are likely to be close to 8% or a little more. The pandemic scenario does not allow us to recover all the ground lost last year, but it recovers 80%, ”said the official.

“We see a good scenario, recovery. The worst of the second wave has happened, we saw the worst in May where many sectors were hit by contagions and they affected the production changes, ”said the official.

Recall that in 2020 the GDP contracted by 9.9% and recorded the third consecutive annual decline, which places it at the lowest level since 2010. This is the result of the long quarantine that the government has set up to deal with the coronavirus pandemic.

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