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Video: FIEL Chief Economists - Argentina's 2015 Economic Outlook

Thursday, April 23, 2015

Speakers:

  • Daniel Artana, Chief Economist, FIEL - Presentation: Challenges and Opportunities for the New Administration
  • Juan Luis Bour, Chief Economist, FIEL - Presentation: Unstable Scenarios Ahead
  • Fernando Navajas, Chief Economist, FIEL - Presentation: Frankenstein's Undoing: Energy Subsidies
    Download the presentation.

As Argentina prepares for general elections in October, the new administration will have to face a stagnant economy with crippling energy subsidies, depleted dollar reserves, and weak internal and external markets, according to speakers at an AS/COA panel. "The economic problems are the same, regardless of who wins the election," said Daniel Artana of Fundación de Investigaciones Económicas Latinoamericanas (FIEL), a leading think tank based in Argentina. A new administration offers an opportunity to normalize economic policies, added Artana. 

With nagural gas and electricity subsidies costing the government $10 billion in 2014, Fernando Navajas says "energy subsidies are an essential part of the rebalancing that Argentina will have to do." The drop in oil prices will be a challenge for Argentina, which faces higher domestic prices per barrel, while the contry's non-conventional natural gas reserves could mean opportunties for investment. A 30 percent decline in exports over the last year will also need to be addressed, said panelists.