Argentine analysts maintained their inflation forecasts for this year almost unchanged, as shown in the central bank's market expectations survey released on Monday. They anticipate year-end inflation to reach 23.3%, which is a slight increase of 0.1 percentage points compared to the previous survey.
Additionally, analysts revised their annual economic growth projection for 2025 upwards by 0.2 percentage points to 4.8%. The survey, conducted from February 26 to 28, gathered insights from 39 participants, including consultancies, research centers, and financial institutions.
Argentina's INDEC statistics agency is scheduled to release February's inflation data on Friday and the economic growth figures for the last quarter of 2024 on March 19.
Earlier in late January, the central bank reduced its benchmark interest rate from 32% to 29%, attributing it to the declining trend in inflation. In January, the monthly inflation rate in Argentina eased to 2.2%.
Following a period where annual inflation in Argentina approached 300% at the beginning of last year, it has now dropped to double digits, hitting around 85% in January. This reduction came despite notable increases in expenses for hospitality services, housing, and utilities.
Analysts in Argentina suggested in February that inflation for last month would likely mirror or slightly surpass January's figures, while expecting a continued downward trend throughout the remainder of the year. The government under the leadership of libertarian President Javier Milei has prioritized lowering inflation, implementing stringent austerity measures, and striving to sustain positive economic momentum.