Argentina
Dujovne backed the government’s economic strategy and warned about electoral uncertainty
The former finance minister said the economy is showing uneven improvement, with inflation easing and export sectors performing better. He also noted that the main challenge remains political risk heading into 2027.
Nicolás Dujovne expressed his support for the economic course of Javier Milei’s government and said Argentina is going through a period of moderate growth, with a slowdown in inflation and strong performance in export-linked sectors, according to BAE Negocios.
According to that outlet, the former finance minister described a recovery that is uneven across activities and regions. He said the interior of the country is showing a more favorable trend than the Buenos Aires metropolitan area, and that sectors tied to external sales are advancing more than those linked to domestic consumption and import substitution.
Dujovne also said that measures such as higher tariffs and exchange-rate adjustment involve short-term costs, but considered them necessary to correct accumulated imbalances. He also argued that the results cannot be assessed immediately because of the complexity of the inherited situation, BAE Negocios reported.
On the political front, he downplayed the idea that the so-called cultural battle against populism has been settled and stressed that the continuity of stability policies over several years will be key to measuring their effects.
When analyzing the outlook toward the 2027 elections, he mentioned the configuration of the opposition and the evolution of activity among the relevant factors. According to BAE Negocios, he highlighted that the current context differs from that of 2025 because of a higher level of reserves, the operation of the exchange-rate bands and the possibility of external support.
The economist also said that, if disinflation continues, real incomes could improve in what remains of 2026. He added the contribution of exports and a possible recovery in construction driven by the growth of mortgage lending.
Dujovne’s main warning focused on political risk. He said the uncertainty associated with each electoral cycle continues to affect Argentina’s financing costs and makes it harder for investment to arrive with greater force. In that line, he said that a decline in that premium will depend largely on what happens after 2027 and on the continuity of the economic program.
Regarding the 2027 Budget, he described it as good and realistic, again according to BAE Negocios. He said the projection of annual inflation of 18% implies a slowdown consistent with recent dynamics, while the estimate of 4% growth seemed demanding, though possible. On the dollar, he declined to give a figure and said its path will be tied to the political scenario.
Sources
About this note. Written by El Notero with assistance from artificial intelligence, based on what was published by the cited outlet. El Notero did not do its own reporting on this event.
