Argentina's Economic Surge Outpaces Projections

Argentina's economic activity rose by 7.7% in April year-on-year, exceeding the projected 6.6% growth. Financial and construction sectors notably expanded, while the government, led by President Javier Milei, employed austerity measures to address ongoing inflationary challenges.

In an unexpected turn of events, Argentina's economic activity surged by 7.7% in April, compared to the same period last year, as indicated by official data released on Monday. This marked the sixth straight month of year-on-year growth, surpassing analysts' expectations of a 6.6% rise.

The financial sector spearheaded this growth with a remarkable 28.4% increase, followed by the construction sector, which saw a 17.1% rise. On a month-to-month basis, the economy recorded a 1.9% increase in April, continuing its upward trajectory from March's 5.4% growth.

President Javier Milei's government has introduced stringent austerity measures aimed at reviving the economy amidst a backdrop of severe inflation. The measures are part of a strategic effort to stabilize Latin America's third-largest economy.

(With inputs from agencies.)