Overview: Argentina is rich in natural resources, and has a highly literate population, an export-oriented agricultural sector, and a diversified industrial base. Nevertheless, the economy has encountered major problems in recent years, leading to a recession in 1988-89. Economic growth slowed to 2.0% in 1987 and to - 1.8% in 1988; a sharp decline of - 5.5% has been estimated for 1989. A widening public-sector deficit and a multidigit inflation rate has dominated the economy over the past three years, reaching about 5,000% in 1989. Since 1978, Argentina's external debt has nearly doubled to $60 billion, creating severe debt-servicing difficulties and hurting the country's creditworthiness with international lenders.

GNP: $72.0 billion, per capita $2,217; real growth rate - 5.5% (1989 est.)

Inflation rate (consumer prices): 4,925% (1989)

Unemployment rate: 8.5% (1989 est.)

Budget: revenues $11.5 billion; expenditures $13.0 billion, including capital expenditures of $0.93 billion (1988)

Exports: $9.6 billion (f.o.b., 1989); commodities--meat, wheat, corn, oilseed, hides, wool; partners--US 14%, USSR, Italy, Brazil, Japan, Netherlands

Imports: $4.3 billion (c.i.f., 1989); commodities--machinery and equipment, chemicals, metals, fuels and lubricants, agricultural products; partners--US 25%, Brazil, FRG, Bolivia, Japan, Italy, Netherlands

External debt: $60 billion (December 1989)

Industrial production: growth rate - 8% (1989)

Electricity: 16,449,000 kW capacity; 46,590 million kWh produced, 1,460 kWh per capita (1989)

Industries: food processing (especially meat packing), motor vehicles, consumer durables, textiles, chemicals and petrochemicals, printing, metallurgy, steel

Agriculture: accounts for 15% of GNP (including fishing); produces abundant food for both domestic consumption and exports; among world's top five exporters of grain and beef; principal crops--wheat, corn, sorghum, soybeans, sugar beets; 1987 fish catch estimated at 500,000 tons

Aid: US commitments, including Ex-Im (FY70-88), $1.0 billion; Western (non-US) countries, ODA and OOF bilateral commitments (1970-87), $3.6 billion; Communist countries (1970-88), $718 million

Currency: austral (plural--australes); 1 austral (A) = 100 centavos

Exchange rates: australes (A) per US$1--1,930 (December 1989), 8.7526 (1988), 2.1443 (1987), 0.9430 (1986), 0.6018 (1985)

Fiscal year: calendar year

NOTE: The information regarding Argentina on this page is re-published from the 1990 World Fact Book of the United States Central Intelligence Agency. No claims are made regarding the accuracy of Argentina Economy 1990 information contained here. All suggestions for corrections of any errors about Argentina Economy 1990 should be addressed to the CIA.