ARGENTINA: IMF Increases GDP Estimate To 2.4% In 2017

(RTTNews) - The International Monetary Fund (IMF) has raised Argentina's growth forecast in 2017 to 2.4%, from 2.2% in its April's report forecast. Meanwhile, the IMF estimate for the Argentinean economic growth in 2018 remained at 2.2%.

Alejandro Werner, IMF's Director for the Western Hemisphere Department, said that Argentina recovery after last year's recession is consolidating, thanks to the stimulus that private consumption receives from the gradual rebound in wages, while incipient credit growth and increased public works expenditure support investment.

"The recent peso depreciation helped to correct the currency's overvaluation and, along with the rebound in demand from Brazil, could boost export growth," the IMF said in its report.

The IMF predicts that, in addition to further reducing fiscal imbalances and continuing to reduce inflation, further efforts will be needed by the Argentinean government to move towards far-reaching reforms on the supply side.