Argentina’s gross domestic product grew 2.7% in the second quarter versus the same period last year and expanded by 0.7% versus the first three months of 2017, the government’s Indec statistics agency said.
The announcement is good news for President Mauricio Macri’s “Let’s Change” coalition ahead of mid-term congressional elections next month.
Argentina’s economy exited a prolonged recession in the second half of last year. But the recovery, hampered by inflation expected by private analysts at about 22% this year, has been sluggish.
The manufacturing sector posted positive growth in the second quarter, up 2.5%, for the first time since Macri’s government started publishing revamped GDP statistics in the second quarter of 2016. Construction helped lead growth, rising 9.7%.
The Argentine economy has grown 1.6% in the first half of the year from a year earlier, and the government expects it to end the year growing around 3%. The 2018 budget forecasts growth of 3.5%.
Indec also revised first quarter GDP growth to 0.4% from a year earlier, compared to 0.3% first reported.