BUENOS AIRES, July 19 ― Argentina's economic activity fell 5.5 per cent in May from a year earlier, the country's official statistics agency said yesterday, lower than the 3.2 per cent expected by a Refinitiv poll as farming production slid.
The South American nation is the world's top exporter of processed soy, the No. 3 for corn and an important wheat supplier, but recent harvests were pummelled by one of the country's worst droughts in history.
Data from statistics agency INDEC showed that agriculture and fishing had the worst results for the month, according to the 'EMAE' activity index, a useful early indicator of likely economic growth.
Poor agriculture results were the biggest factor for the EMAE's drop, Indec said, adding it has contributed 5.8 percentage points to the year-on-year drop in the indicator.
Agriculture and fishing also had the worst result for the month in April.
Argentina is battling inflation of over 100 per cent, with around four-in-10 people living in poverty. It is also locked in crunch talks with the International Monetary Fund (IMF) to revamp a US$44 billion (RM200 billion) debt deal. ― Reuters
