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Buenos Aires is the powerhouse of Argentina's economy, making up 37% of the country's GDP in 2016. Its economic power lies in industrial, commercial and business activities. However, Buenos Aires' economic growth is plagued by Argentina's political instability and stagflation. Buenos Aires is in the race to become a start-up and technology hub of Latin America. At the same time, the capital is undergoing massive urban development, with the aim of boosting urban and social integration.
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Overview
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BUENOS AIRES HIGHLIGHTS
Once regarded as the most productive major Latin American city, Buenos Aires' gross value added (GVA) per employee fell by 4.4% in constant value terms over 2011-2016. In 2016, its GVA per employee was USD27,300, and lagged behind that of other key cities in the region, such as Santiago (USD33,900), Montevideo (USD32,400), San Jose (USD28,800) and Mexico City (28,300).
Higher disposable income per household
A higher employment rate than elsewhere in Argentina (70% versus 57% in 2016) and a greater emphasis on higher value-added industries explains the 9.6% higher disposable income per household in Buenos Aires compared with the rest of the country in 2016.
Greater spending on hotels and restaurants, and education
Consumer expenditure per household (excluding housing and transport) in Buenos Aires surpassed the average for the rest of the country by 12% in 2016. Higher incomes allow the city's consumers to spend notably more on areas such as hotels and restaurants (+49% per household spending in 2016), and education (+40).
High level of traffic increases transport costs
Combined expenditure on transport and housing was 4.2% higher in Buenos Aires compared with the rest of the country in 2016. Transport costs are pushed up by the high level of traffic in the city.
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BUENOS AIRES REVIEW AT A GLANCE
Understanding Buenos Aires Review structure
Chart 1 OverviewKey facts on Buenos Aires
Summary 1 Key Facts On Buenos Aires 2011, 2016, 2021BUENOS AIRES HIGHLIGHTS
History
Delimitation of the metropolitan region
Chart 2 Map Of Buenos Aires Metropolitan AreaMain business districts
ECONOMY OF THE CITY
Industrial make-up
Chart 3 Industrial Composition Of Buenos Aires 2016Chart 4 Labour Productivity: Selected Cities 2016
Recent developments and outlook
Chart 5 Dynamics Of Real GDP In Buenos Aires, Argentina And Other Cities In Latin America, 2011-2021Summary 2 Labour Market Changes In Buenos Aires 2011, 2016
CONSUMER PROFILE
City demographics
Chart 6 Population By Age 2016Chart 7 Drivers Of Population Growth In Buenos Aires 2011-2016
Household income
Chart 8 Household Distribution By Income In Buenos Aires 2016 And 2021CONSUMER EXPENDITURE
Structure of household budget
Chart 9 Comparison Of Household Expenditure In Buenos Aires And Argentina, 2016Summary 3 Buenos Aires Household Budget Structure By Consumer Expenditure Item, % of total, 2011, 2016, 2021
City lifestyle
Growing Tourism Offerings In Buenos AiresBuenos Aires To Host Argentina's Maiden Apple Store In
City affordability
HousingChart 10 Household Expenditure On Housing: Selected Cities 2016
Transport
Chart 11 Household Expenditure On Transport: Selected Cities 2016
DEFINITIONS
APPENDIX
Summary 4 GDP Development, 2011, 2016, 2021Summary 5 GDP By Origin, Current Prices, US$, Million, 2011-2016
Summary 6 Population And Labour Force, 2011-2016
Summary 7 Employed Population By Economic Sector, % of total, 2011-2016
Summary 8 Population By Sex And Broad Age Groups, ‘000, 2011-2016
Summary 9 Population Growth, 2011-2016
Summary 10 Forecast Population Growth
Summary 11 Population By Educational Attainment, 2011-2016
Summary 12 Structure Of Consumer Expenditure By Main Category, 2011-2016
Summary 13 Consumer Expenditure By Main Category, Per Household, Constant (2016) Prices, US$, 2011, 2016, 2021
Summary 14 Households By Income Band, % Of Total, Constant (2016) Prices 2011, 2016, 2021
Summary 15 Households By Income Band, ‘000, Current Prices 2011-2016
Summary 16 Inflation, 2011-2016
Summary 17 Transport Indicators, 2011-2016
Summary 18 Air Pollution, Concentration In Micrograms Per Cubic Metre, 2011-2016
Summary 19 Possession of Consumer Durables, % of Households, 2011, 2016, 2021
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