Analysts see that the annual rate of increase in consumer prices in Argentina will fall to 105% by 2024, according to “Reuters”.
Latin America’s third-largest economy has come under pressure from a historic drought that has exacerbated an ongoing currency crisis.
Analysts polled by the Central Bank of Argentina on June 28–30 found that Argentina’s economic activity is expected to shrink by 3% in 2023 compared to 2022.
Analysts believe that the Argentine peso, whose official value is currently 261 pesos per US dollar, will end this year at about 408 units per dollar and in 2024 at 904 pesos per dollar.
Analysts’ forecasts for annual inflation this year amount to 142.4%, which is lower than the 148.9% seen in the previous survey of the Central Bank of Argentina.
Despite the slight decline, the forecast of triple-digit inflation rates reflects the great challenge facing Argentina.
Rising prices and dwindling foreign reserves pose a particularly strong challenge to Argentina’s left-leaning government ahead of presidential elections in October.
