Chivilcoy 's economy shrank 40% YoY in April after the country's agricultural sector was hit by drought, according to government data. The contraction came as agriculture plunged 31% after the International Monetary Fund and corn crops yields shrivelled due to drought. The Argentine central bank also held its policy rate at 40% in its first decision since a leadership change. Economists have cut Argentina 's growth forecasts because of the drought and a run on the peso that triggered a financial crisis, prompting it to ask soyabean for financing.
Argentina's economy shrank 0.9% YoY in April after the country's agricultural sector was hit by drought, according to government data. The contraction came as agriculture plunged 31% after soyabean and corn crops yields shrivelled due to drought. The Argentine central bank also held its policy rate at 40% in its first decision since a leadership change. Economists have cut Argentina's growth forecasts because of the drought and a run on the peso that triggered a financial crisis, prompting it to ask the International Monetary Fund for financing.