Exchange Rate in Argentina
Argentina - Exchange Rate
Peso falls to all-time low in March
The Argentine peso depreciated in the last few weeks, despite the Central Bank’s tight monetary policy stance. On 8 March, the currency traded at 41.15 ARS per USD, bottoming out from a record-low of 42.46 recorded the day before. The result represented a notable 8.6% weakening over the same day of the previous month. The peso lost half of its value compared to the same day last year and was 9.3% lower than at the beginning of the year.
The currency’s most recent slide reflects higher than expected inflation in January, growing domestic liquidity and concerns among investors on Argentina’s challenging economic scenario ahead of next October’s elections. The weakening follows several months of substantial stability of the peso, as in October the Central Bank (BCRA) moved to a monetary rule which sets a 0% monthly growth for the monetary base until June 2019. Additionally, in late February, the Central Bank of Argentina (Banco Central de la República Argentina, BCRA) announced it would tweak its guidelines to intervene in the exchange rate market in order to intensify its fight against inflation by limiting potential depreciations in the peso. Moreover, to stem the currency’s slide, on 8 March the BCRA sharply hiked the LELIQ interest rate, helping the peso recover some lost ground.
Looking ahead, the peso is expected to depreciate further due to still-high inflation, although the scope of its weakening should narrow compared to last year thanks to the Bank’s tight monetary policy stance.
Argentine Peso Exchange Rate Forecast
Panelists surveyed for this month’s LatinFocus report expect the ARS to end 2019 at 47.53 ARS per USD. They project the Argentine peso will trade at 54.78 ARS per USD at the end of 2020.
Argentina - Exchange Rate Data
|Exchange Rate (vs USD)||6.52||8.46||12.94||15.86||18.60|
5 years of economic forecasts for more than 30 economic indicators.
Argentina Exchange Rate Chart
Source: Thomson Reuters.
|Bond Yield||6.69||0.15 %||Dec 17|
|Exchange Rate||41.26||0.45 %||Mar 11|
|Stock Market||33,791||2.26 %||Mar 11|
Get a sample report showing our regional, country and commodities data and analysis.
Start Your Free Trial
Start working with the reports used by the world’s major financial institutions, multinational enterprises & government agencies now. Click on the button below to get started.
March 14, 2019
According to the National Statistical Institute (INDEC), national consumer prices jumped 3.8% over the previous month in February, coming in above January’s 2.9% month-on-month increase. February’s reading marks the second consecutive month of acceleration in month-on-month price increases.
March 11, 2019
The Argentine peso depreciated in the last few weeks, despite the Central Bank’s tight monetary policy stance.
March 6, 2019
Industrial production plummeted 10.8% over the same month of last year in January, according to data released by the National Statistical Institute (INDEC) on 6 March.
February 28, 2019
The monthly indicator for economic activity (EMAE, Estimador Mensual de Actividad Económica) contracted 7.0% in annual terms in December, a somewhat softer drop than the 7.5% plunge recorded in November.
February 28, 2019
At its latest meeting held on 28 February, the Central Bank of Argentina (Banco Central de la República Argentina, BCRA) announced it would tweak its guidelines to intervene in the exchange rate market in order to intensify its fight against inflation.