Argentina: Economic activity picks up in November
January 21, 2011
In November, the monthly indicator for economic activity (EMAE, Estimador Mensual de Actividad Economica) rose 9.8% over the same month the previous year. The figure was up from the 7.2% increase recorded in October, and beat analyst expectations, which had economic activity expanding 8.0% year-on-year. A month-on-month comparison corroborates the improvement in growth suggested by the annual data. The economy expanded 1.70% over the previous month in seasonally adjusted terms, following on the 0.28% increase recorded in October. The positive result confirms that the economy is gaining momentum. In fact, the trend in economic activity continued to improve, with annual average growth jumping from 8.0% in October to 8.7% in November. That said, in addition to widespread accusations of the underreporting of inflation by the national statistical office (INDEC), official data for economic activity continue to be subject of controversy, with some private analysts estimating economic growth to be far below official figures. The Central Bank sees the economy growing between 3.5% and 6.5% this year, following on estimated growth of 9.0% in 2010.
Author: Armando Ciccarelli, Head of Data Solutions