9 /10 Severity

Argentine Economic Crisis

debt crisis Dec 2001 → Dec 2002

GDP Impact

-10.9%

Countries Affected

Duration

12.967741935484 months

Recovery

- months

← Back to Events

Description

The Argentine economic crisis was caused by the fixed exchange rate system and excessive foreign debt. It resulted in the largest sovereign debt default in history at that time.

Causes

Currency peg to USD, fiscal deficits, external debt accumulation, recession, capital flight.

Consequences

GDP fell by 28%, $132 billion debt default, 5 presidents in 2 weeks, social unrest, poverty rate exceeded 50%.

Quick Facts

Event Type: debt crisis
Start Date: Dec 01, 2001
End Date: Dec 31, 2002
Peak Year: 2001