It is important to mention that these results are “very” preliminary and most likely will be revised considerably once the results for the first quarter of 2016 are released at the end of June. This is because Argentina’s statistical institute is in the process of fixing all of the data issues left by the previous administration, which means the revisions are expected to be important.
Although the new administration will face several challenges with inflation in 2016, we expect the economy to improve as the political and regulatory environment for the private sector improves. However, until the statistical institute releases its revisions to the data on the economy it will be quite difficult to gauge the true direction of the Argentine economy. That said, all indicators point to better times ahead for the country in the next several years.
Read the complete commentary by the Wells Fargo Economics Group here: argentina-q4-2015-20160331