Argentina Business Forecast Report Q4 2014 - New Market Report

Boston, MA -- (SBWIRE) -- 10/22/2014 -- The Argentine economy is reeling following the January 2014 currency devaluation. Economic growth has slowed markedly, prompting us to revise down our real GDP forecasts, as soaring inflation discourages investment and erodes purchasing power. Furthermore, the slowdown in economic activity has prompted a widening of the fiscal deficit, in line with our expectations, as government spending accelerates, and weak growth weighs on revenues. Moreover, we see further weakness for the Argentine peso, as the authorities allow for a gradual depreciation of the currency to address a widening spread between the black market and official exchange rates.