Argentina’s economy shrank more than expected in May, pushing the economy to the brink of a sixth recession in a decade. Economic activity fell 5.5% from a year ago, the deepest contraction since 2020.
The economy contracted by 0.1% in May compared to the previous month, according to government data.
A severe drought is affecting the farms that produce most of the country’s exports, adding to the disruption caused by uncontrolled inflation.
Economists surveyed by the Central Bank of Argentina expect GDP to contract by 3% this year, followed by another decline in 2024.
