Argentina’s economy grew 4.4 per cent in 2025, according to the latest figures released by National Institute of Statistics and Censuses (INDEC).
The results were welcomed by President Javier Milei under his “shock therapy” strategy.
The government hailed the latest data as proof of its reforms.
On his X account, Milei stated: “The prophets of chaos are not going to like this” and “Argentina is moving forward” in comments directed at his detractors.
In parts of Europe, economic results published over the past couple of days either by Eurostat or by national institutes of statistics are very different.
Germany’s growth is seen as very slow at around 0.2 per cent to 1 per cent and Austria’s is at about 1.5 per cent.
Overall, European Union countries are forecast to expand sluggishly in 2026, with an average growth of about 1.1 per cent, according to KMPG on February 16.
For Argentina, INDEC’s Monthly Economic Activity Estimator (EMAE), which serves as a preview of GDP, confirms a marked rebound in December 2025: Up 3.5 per cent year-on-year and 1.8 per cent compared with November.
Over the full year, growth reached 4.4 per cent, close to the 4.5 per cent forecast by the International Monetary Fund, although below the government’s 5 per cent target.
#DatoINDEC
La actividad económica creció 3,5% interanual en diciembre de 2025 y acumuló una suba de 4,4% en 2025 respecto de 2024 https://t.co/PTEM0Q4rrm pic.twitter.com/c5Bi9v0d3P— INDEC Argentina (@INDECArgentina) February 24, 2026
This performance owes a lot to the agricultural sector. A particularly profitable wheat harvest boosted the sector.
Mining activities and financial services also contributed, although more modestly. In contrast, industry and trade saw declines of 3.9 per cent and 1.3 per cent, respectively, over the year.
This sectoral variation comes from two years of strict economic policies: There were major spending cuts, ending subsidies and deregulation.
These measures successfully slashed inflation down to approximately 32 per cent, a significant win for a country prone to hyperinflation.
The social impact is mixed, though. Around 300,000 formal jobs were lost in both the public and private sectors last year. Mass layoffs in the civil service were the primary tool used to balance the national budget.
The government is also pushing reforms, especially in labour laws, to revive investments and formal employment.
