Itaú BBA - Macro Scenario – Uruguay: Fiscal accounts deteriorated

Macro Latam

< Voltar

Macro Scenario – Uruguay: Fiscal accounts deteriorated

Fevereiro 12, 2020

The incoming government proposes a fiscal rule to ensure the sustainability of public finances.


For the full version with all charts and tables, please open the attached pdf file.

 

• The consolidated fiscal deficit increased in 2019 to 3.4% of GDP, up from 2.9% in 2018. The incoming government proposes a fiscal rule to ensure the sustainability of public finances. We expect a slight fiscal consolidation in 2020, to -3.2% of GDP.

• January´s inflation was higher than expected. With a pending rise in public rates, we adjusted our 2019 inflation forecast to 8.5% from 8% previously.

• We expect GDP growth of 1.5% for 2020, up from 0.3% last year, due to investments for the start-up of the new paper plant and better growth in Brazil. The recession expected in Argentina and the exchange-rate controls in that country will continue to be a drag on the local economy.


Juan Carlos Barboza
Diego Ciongo



For the full version with all charts and tables, please open the attached pdf file.

 



< Voltar