Argentine Economy Beats Forecast Despite Political Woes

Argentina’s economy expanded more than expected in September as tourism, manufacturing and construction picked up, offsetting political volatility that followed the government’s defeat in primary elections, Bloomberg News reported. Economic activity rose 1.2% from the previous month, double the median estimate of economists in a Bloomberg survey. From a year ago, growth slowed to 11.6%, according to government data published Tuesday. The government’s loss in the Sept. 12 primary vote sparked political uncertainty that is hurting business confidence as President Alberto Fernandez resorts to additional unorthodox economic measures, including price freezes, to rein in inflation. The government lost the final midterm vote on Nov. 14 by a narrower margin. The sector of hotels and restaurants jumped 59% in September from a year ago as the economy gradually reopens and the pace of vaccinations improve. Construction expanded 27%, while manufacturing and mining grew 11% and 16%, respectively. It was the fourth straight month that overall activity expanded. Read more.