(Reuters) -Argentine analysts nudged down their forecasts for this year’s inflation, according to the central bank’s market expectations survey published on Thursday, while also turning slightly more upbeat about economic growth in South America’s No. 2 economy.
The new forecast of an annual inflation rate of 23.2% was 2.7 percentage points lower than the average level predicted in last month’s central bank survey. For January, analysts predicted month-on-month price rises of 2.3%.
Analysts also nudged up their economic growth forecast by 0.1 percentage point to 4.6% by the end of 2025.
The survey was taken between January 29 and 31 and polled 39 participants, including consultancies, research centers and financial entities.
Annual inflation has come down from a peak of nearly 290% in April last year, but as of December remained in triple-digit territory at around 118%. Monthly price increases have, meanwhile, slowed to the low single-digits.
Libertarian President Javier Milei, who took office in December 2023, has launched a hard austerity push, slashing many public budgets. Price rises have steadily slowed but poverty rates surged past 50% in the first half of last year.
Late last month, the central bank trimmed its benchmark interest rate to 29% from 32%, citing inflation’s downward trajectory.
Argentina’s INDEC statistics agency is set to publish its January inflation data on February 13, and its economic growth data for the last quarter of 2024 on March 19.
(Reporting by Sarah Morland; Editing by Kylie Madry)
