MercoPress. South Atlantic News Agency

Argentina reports lowest growth in five years in October

Argentina reported the lowest economic growth in more than five years in October as factories cut output because of waning sales and exports. The country's economic activity index expanded 5.2% in October compared to the same month a year ago and 0.1% over September.

Argentina's economy is beginning to show the effects of the worldwide slump spurred by the collapse of financial systems worldwide, which has sapped demand for exports and made domestic consumers more reluctant to spend. The Argentine economy expanded 6.5% in the third quarter, the slowest pace since 2003. "Industrial production dropped sharply in October, especially in the auto and agrochemical sectors," said Fausto Spotorno, an economist at Consultora Orlando Ferreres, a research firm in Buenos Aires. Industrial output fell 1.9% in October from September, and car sales were down 9.7% from September. "We should see more of the same in November" added Spotorno.