Argentina GDP per Capita: Overview and Outlook

Current GDP per Capita

As of 2024, Argentina's Gross Domestic Product (GDP) per capita was recorded at slightly above USD 13,000. This figure captures a pivotal moment for an economy undergoing radical "shock therapy" reforms aimed at correcting decades of macroeconomic instability.

Historical Changes in Argentina's GDP per Capita

Argentina's economic journey in recent decades has been a case study in volatility. This century began in the depths of a catastrophic crisis, culminating in a massive debt default and currency devaluation in 2001-2002, which saw GDP per capita plummet. The subsequent years, from roughly 2003 to 2011, were a period of powerful, commodity-fueled recovery, where high global prices for soy and other agricultural exports drove a dramatic rebound in per capita income.

However, this boom gave way to a decade of stagnation and crisis from around 2012 onwards. The economy was plagued by soaring inflation, currency controls, international debt disputes, and a lack of investment. This culminated in another severe crisis in 2018, requiring a record-breaking IMF bailout. In the decade leading up to 2024, nominal GDP per capita in U.S. dollar terms was roughly stagnant as hyperinflation shredded real incomes and economic mismanagement hampered exports and investment. The sharp policy shift in late 2023, with a new government implementing a major currency devaluation and aggressive fiscal austerity, caused the nominal GDP per capita to fall in 2024 from 2023.

GDP per Capita Predictions for the Coming Years

Looking ahead, our forecasts suggest a period of sustained and positive growth in GDP per capita, as the Milei government's structural reforms improve economic conditions. However, continued currency weakening will limit GDP per capita growth in U.S. dollar terms.

Want to get concrete forecasts for Argentina's GDP per capita for the coming years? FocusEconomics collects GDP per capita projections out to 2035 from a panel of 35 analysts at the leading national, regional and global forecast institutions. To get in touch with our team for more information, fill in the form here.

Key Factors to Watch

The long-term forecast for Argentina depends partly on the political and social sustainability of the ongoing radical economic reforms. The government's ability to achieve a lasting fiscal surplus, thereby ending the cycle of deficit-fueled inflation, is paramount to restoring investor confidence and attracting both domestic and foreign capital. It will be key for this fiscal discipline to be maintained in the face of inevitable social pressures.

Another long-term factor is the development of the Vaca Muerta shale formation. As one of the world's largest reserves of shale oil and gas, its full exploitation could transform Argentina's economic landscape, turning it into a major energy exporter and providing a desperately needed, sustainable source of foreign currency.

The third factor is the currency. The peso has seen chronic depreciation in recent years; if this continues, GDP per capita in nominal USD terms will struggle to see a sustained rise even if the domestic economy is expanding strongly.

Argentina GDP Per Capita Data