Buenos Aires Hours | Economic activity grew 12.8% in August year on year

Argentina’s economic recovery gained momentum in August, thanks to an acceleration of the Covid-19 vaccination campaign and the easing of government restrictions on movement and commerce.

Economic activity rose 1.1% in August from the previous month, according to government data released Thursday by the national statistics office of INDEC. Compared to the same month of 2020, activity increased by 12.8%.

Between January and August of this year, gross domestic product increased 10.8% from the previous year, INDEC said.

Growth was driven by services benefiting from the lifting of restrictions, such as community and social activities, hotels and restaurants, and construction.

The Argentine government managed to ramp up its vaccination campaign in August, outperforming its regional peers, Brazil, Colombia and Mexico, and paving the way for a sustained reopening of the activity. More than 55% of Argentines are fully vaccinated.

Most private economists predict the economy will grow 7.6% this year, driven by a rebound in consumption in the second half of the year. Argentina has been in recession since 2018 and the economy contracted 9.9% last year, hit hard by the coronavirus pandemic.


related news

Leave a Reply

Your email address will not be published.