Argentina Posts 4.4% Growth in 2025 as Milei Hails Agriculture-Led Rebound

Overview

• Indec’s monthly activity index indicates a 4.4% expansion in 2025, reversing a 1.8% contraction in 2024 and previewing official GDP.
• Economic activity jumped 3.5% in December, driven largely by a highly profitable wheat harvest, with mining and financial services also strengthening.
• The upswing was uneven across sectors, as manufacturing contracted 3.9% and commerce fell 1.3% over the full year.
• The administration points to disinflation down to 32% and back-to-back public-account surpluses in 2024 and 2025, and President Javier Milei celebrated the data on X.
• Critics warn the recovery could be fragile given weak consumption, nearly 300,000 formal job losses and lower FDI, as the government targets 5% growth for 2026 versus the IMF’s 4% forecast.