BUENOS AIRES, March 19 (Xinhua) -- Argentina's economy contracted 1.7 percent in 2024, as the government's austerity measures hit consumption and investment, the National Institute of Statistics and Censuses said Wednesday.

The decline, which came in milder than forecasts, was driven by a sharp 17.4 percent fall in investment, a 4.2 percent drop in private consumption and a 3.2 percent decrease in public spending, the agency said. Meanwhile, exports surged 23.2 percent, and imports declined by 10.6 percent, it added.

Construction was among the hardest-hit sectors, down 17.7 percent year-on-year mainly due to the government's decision to halt public projects. Manufacturing fell 9.2 percent, while wholesale and retail dropped 7.3 percent on weak consumer spending.

However, agriculture, livestock and forestry posted significant growth, up 31.3 percent, while mining and quarrying grew by 7.4 percent.

Despite the annual downturn, the economy in the fourth quarter rebounded 2.1 percent year-on-year, reversing the negative trend in the previous three quarters. The late-year recovery was supported by renewed private consumption, slight growth in public spending and investment. Enditem

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