June was the eighth consecutive year-over-year reduction in investments in Argentina, with a total decline of 7.6% in the first half of 2026 compared to the same period last year. This information is derived from a survey executed by Orlando Ferreres & Asociados. The consulting firm’s Monthly Gross Domestic Investment Index experienced a decline of 6.2% compared to the same period last year. In comparison to the preceding month, the index experienced a contraction of 0.4%, furthering the established “sawtooth” pattern characterised by alternating periods of rebounds and declines. In comparison to June 2025, the most unfavourable figures were observed in the durable production equipment segment. For domestically produced goods, the decline was 9.5%, while for imported goods, the figure showed a 12.7% drop.
The exception was investment in construction, which exhibited a modest increase of 0.4% relative to June 2025. “As we reach the midpoint of the current year, investment continues to hover at very low levels, and there are still no clear signs pointing to a recovery, although certain specific sectors posted better figures in the sixth month of the year. Construction managed to return to positive territory, and we also saw slight increases in heavy commercial vehicle registration figures,” the report stated. The consulting firm’s seasonally adjusted data indicated that June’s investment ranked as the third-lowest since October 2024, with only April of this year and November of the previous year recording lower figures. Looking ahead, while the firm does not foresee a scenario that would allow for a sustained rebound, it expects “the contraction in investment to continue slowing.” The report concluded “The factor that could change this slow trend is the investments announced under the RIGI program, but deadlines and timelines for these investments are flexible and subject to some discretion.”
The figures indicate that investment is significantly distant from being a primary driver of economic activity at this time, contrary to the government’s assertions. Conversely, enhancements in GDP have been propelled by exports and private consumption. Improved records for the latter are associated with methodological concerns pertaining to the manner in which INDEC quantifies this variable. Recent official data indicates that investment experienced an 11% decline year-over-year in the first quarter of 2026, representing its fourth consecutive decrease on a seasonally adjusted basis. Furthermore, think tank Fundar noted that investment accounted for just 14.3% of GDP — a “historic low” and “far below the necessary 25%.” Concerning the prospective contributions of RIGI, the organization asserted that the investment regime addresses a “real problem” — specifically, the inadequate level of investment the country was drawing in as it approached 2023 — yet it is deemed “poorly designed.” They pointed out “two serious problems”: the “excessive benefits granted to sectors that did not need them because they were already investing,” such as mining and energy; and the lack of a strategy aimed at creating linkages between the most dynamic sectors and other activities that could serve as suppliers.
The negative trend in investment can be attributed to five factors, according to Mühl Productiva, a network of professionals with experience in both the public and private sectors: weak demand and declining wages; the stagnation of public works projects; the subpar performance of private construction; a lack of credit and policies to support investment; and uncertainty about the sustainability of the economic model going forward. “Current growth, supported mainly by agriculture, mining, and energy, is insufficient to generate broad-based investment across the economy as a whole, which jeopardizes the country’s sustained growth,” the report added. According to these figures, per capita investment was 21.8% lower than the record set in 2018, which occurred before the currency crisis that signalled the decline of Mauricio Macri’s administration. Emiliano Libman told that the sectors in which RIGI projects are concentrated represent “too small a fraction of total investment to drive the overall figure.” He added “It might help stop the decline in investment, but I don’t expect a rebound in the short term.”