It is worth remembering that the IMF is forecasting a contraction of 3.5%. This forecast has worsened by seven-tenths compared to the April report. For 2025, the IMF maintains the expectation that Argentina’s GDP will expand by 5%.
In the first half of 2024, Argentina was crowned as the country with the highest inflation in the world.
Reuters
In the first half of 2024, Argentina was crowned as the country with the highest inflation in the world. Although the government claims to have mitigated the risk of hyperinflation and to be achieving a slowdown, the numbers are still alarming. At the regional level, it also tops the list.
Inflation ranking in Latin America (January-June 2024)
- Argentina: Cumulative inflation was 79.8%. Although there are signs of a monthly slowdown, the rate remains extremely high. Year-on-year inflation reached 271.5%.
- Venezuela:According to the Central Bank, the cumulative inflation was 8.9%, while the Venezuelan Finance Observatory (OVF) reported 18.1%. The interannual inflation according to the OVF is 68%.
- Colombia: struggling to control post-pandemic inflation, it accumulated 4.12% in the first half of the year. The year-on-year inflation is 7.18%.
- Uruguay: Cumulative inflation was 3.62% and the interannual inflation was 4.96%.
- Nicaragua: recorded inflation of 2.86% in the first half of the year and an annual inflation of 4.82%.
- Paraguay: accumulated a half-yearly inflation of 2.8% and an interannual inflation of 4.3%.
- Bolivia: half-yearly inflation was 2.49% and year-on-year inflation was 3.85%.
- Brazil:The region’s largest economy recorded a price increase of 2.48% in the first half of the year, with an annual inflation rate of 4.23%.
- Chili: Cumulative inflation was 2.4% and interannual inflation was 4.2%.
- Mexico: accumulated a half-yearly inflation of 1.68% and an interannual inflation of 4.98%.
- PeruIn Metropolitan Lima, the half-yearly inflation was 1.57% and the interannual inflation was 2.29%.
- The Savior: recorded a half-yearly inflation of 1.35% and an interannual inflation of 1.48%.
- Dominican Republic: The half-yearly inflation was 1.12% and the interannual inflation was 3.46%.
- Guatemala: Cumulative inflation was 0.96% and the interannual inflation was 3.62%.
- Ecuador: half-yearly inflation was 0.7% and year-on-year inflation was 1.18%
Inflation: What the IMF expects for the region
The economy of Latin America and the Caribbean will grow by 1.9% this yearaccording to the third and final update of the annual World Economic Outlook report. International Monetary Fund (IMF) presented this Tuesday. In this way, the international organization adjusted downwards its previous projection of 2% last April.
milei georgieva imf g7
Reuters
“For Latin America and the Caribbean, growth in 2024 has been revised downwards for Brazil, due to the short-term impact of the floods, and for Mexico, due to the moderation of demand. However, for 2025, growth of 2.1% is expected in Brazil, driven by reconstruction after the floods and favorable structural factors, such as the acceleration in hydrocarbon production,” the IMF report states.
In the case of Argentina, The organization predicts a contraction of 3.5%. This forecast has worsened by seven-tenths compared to the April report. For 2025, the IMF maintains the expectation that Argentina’s GDP will expand by 5%.
Source: Ambito
