Argentina's Economic Struggles: A Closer Look at Sector Contractions

Argentina's economic activity dropped 3.3% in September compared to last year, marking a fourth consecutive decline. Despite President Javier Milei's austerity measures stabilizing inflation and finances, sectors like fishing and construction faced steep declines. However, mining and agriculture showed some growth.

Argentina's economic activity witnessed a significant decline of 3.3% in September, according to new data from the national statistics agency. This was a larger drop than the 2.7% forecasted by analysts, marking the fourth consecutive month of year-on-year contraction.

The country, rich in grains, also experienced a 0.3% fall in monthly comparison, indicating the end of a brief growth period. President Javier Milei's austerity measures, while effective in controlling inflation and stabilizing state finances, have adversely impacted various economic sectors.

In September, the fishing industry suffered the most with a 25.2% contraction, followed by construction at 16.6%. However, four sectors reported growth, with mining seeing an increase of 7.6% and the agriculture sector up by 3.1%, as per INDEC statistics.

(With inputs from agencies.)