Current value growth in gross consumer lending in Argentina in 2022 is set to surpass that recorded in 2021, as is growth in the total outstanding balance. However, these results have been skewed by the fact that the country’s chronically high inflation has been further exacerbated by the fallout of the global recovery from the pandemic and Russia’s invasion of Ukraine.
For several years, Argentina’s government has sought to stimulate economic growth and create jobs with Ahora plans, which allow consumers to buy certain domestically goods via fixed-term instalment payments that are interest-free or have rates that are considerably lower than inflation. In addition to being subsidised by the state, these plans are partly financed by banks, retailers and manufacturers.
With persistently high inflation continuously weakening the value of the peso, real estate transactions in Argentina are almost entirely conducted in US dollars. However, strict currency controls mean individuals can only purchase USD200 per month through official channels.
Historically, the offer of consumer lending products and services in Argentina has been mainly confined to mid-to-high-income earners in registered jobs, with the country’s large unbanked population and the many people in informal employment finding it very difficult to access credit facilities. However, recent years have seen the emergence of several new fintech companies that provide low-value loans to these latter groups.
It is expected gross consumer lending and the total outstanding balance will continue to increase at high double-digit rates in current value terms throughout the forecast period. As in 2022, however, growth will be distorted as Argentina’s entrenched inflationary challenges are exacerbated by external factors related to the global recovery from COVID-19 and the wider geopolitical fallout of Russia’s invasion of Ukraine.
Files are delivered directly into your account soon after payment is received and any tax certification is verified (where applicable).
This report comes in PDF with additional info in Excel included.
Understand the latest market trends and future growth opportunities for the Consumer Lending industry in Argentina with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
If you're in the Consumer Lending industry in Argentina, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
Aggregate of Consumer Credit and Mortgages/Housing. Gross Lending: The total value of loans advanced by institutions in a given year; data refers to single year only. Outstanding Balance: The collective amount owed by borrowers at the end of a given year; data refers to the cumulative impact of debt.See All of Our Definitions
This report originates from Passport, our Consumer Lending research and analysis database.
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extraction Free!