Electricity consumption will decline by 4.7% and generation will decrease by 2.47% this year.

The Country Risk team of BMI expects Argentina to fall into a further recession due to the coronavirus— with real GDP growth contracting by 5.2% in 2020—as we expect the deterioration of global demand and the spread of the disease locally will lead to sharper declines in consumption, investment and exports than we previously anticipated – further weighing on electricity consumption. We now forecast electricity consumption will decline by 4.7% and generation will decrease by 2.5% in 2020, before rebounding to 3.5% and 2.5% growth in 2021, respectively.

Molinos lost $1.7 mn in the first quarter

The food company Molinos Rio de la Plata presented yesterday its financial results for the first quarter of the year, and reported a net loss of 114 million pesos ($1.7 mn), due to the impossibility of transferring the increase in costs to the prices of its product portfolio. Molinos has been presenting negative balances for at least three years.