BUENOS AIRES, Nov 5 (Reuters) – Argentine inflation is set to come in at 50.3% for the year, according to the median estimate in a central bank poll of analysts published on Friday, raised steeply from forecasts a month earlier as the country struggles to rein in rising prices.
The monthly Market Expectations Survey, or REM, carried out between Oct. 27-29 among 40 analysts, also raised its forecast almost 3 percentage points for 2022 inflation to 48.9%.
Latin America’s No. 3 economy has suffered from high inflation for years, which saps earning power and savings. This has dragged on growth and hit the government’s popularity ahead of important midterm elections later this month.
The participants surveyed also raised their outlook for economic growth this year to 8.3%, up 0.7 points versus the previous month’s report. Argentina is a major grains producer, including being the top global exporter of processed soy.
The analysts saw the peso currency at around 105.1 per U.S. dollar by the end of this year and around 158.9 per dollar at the end of 2022. The currency, being held in check by capital controls, is just under 100 per dollar now.
(Reporting by Maximilian Heath; Writing by Adam Jourdan; editing by Grant McCool)
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