The Argentine economy closed 2025 with cumulative growth of 5.8% according to the Monthly Economic Activity Estimator (EMAE) published by INDEC, consolidating the recovery that began in mid-2024 following the sharp adjustment of the first half. It was a heterogeneous year: some sectors showed double-digit expansion while others barely recovered pre-crisis levels. The most significant observation is that the recovery was neither uniform nor simultaneous — it was driven by very different sectoral dynamics linked to external demand, credit, and private investment.
The sectors that drove growth
The fastest-growing sector in 2025 was mining and hydrocarbons, boosted by record production from Vaca Muerta. It was followed by agriculture and livestock, which bounced back strongly after the historic drought of 2023, and the financial sector, benefiting from the reactivation of credit in a context of falling interest rates. Manufacturing showed a more moderate performance — growing 4.2% for the year — with recovery in food, automotive, and metalworking, but stagnation in textiles and footwear. Retail trade regained momentum in the second half of the year, once the decline in real wages began to reverse. To explore the monthly evolution of activity by sector, visit our interactive economic activity dashboard.
Employment, wages, and domestic demand: the other side of the recovery
The recovery in activity levels was not distributionally neutral. During the first half of 2025, growth was led by export-oriented sectors and private investment, while domestic consumption remained depressed due to the accumulated fall in real wages. Only in the third quarter, when wages began recovering above inflation, did private consumption contribute positively to growth again. The unemployment rate closed the year at around 6.3%, the lowest level since 2016, though informal employment remained a structural problem. In our employment and wages dashboard you can follow the labor market evolution in detail.
Foreign trade also played a central role in the recovery. Goods exports grew 22% in dollar terms compared to 2024, driven by agriculture, energy, and the automotive industry. The improvement in the trade balance contributed to the BCRA's reserve accumulation and reduced exchange rate pressure. Disaggregated data by category and destination are available in our foreign trade dashboard.
The outlook for 2026 is positive but moderate: macroeconomic stabilization, improved real wages, and greater credit availability create favorable conditions, though the effects of fiscal consolidation, pending structural reforms, and global uncertainty limit optimism.
Sources: INDEC (EMAE, Foreign Trade, EPH), Ministry of Economy of Argentina, BCRA.
