Argentina Domestic Securitization to Grow in 2011: Moody’s

Domestic securitization activity in Argentina is expected to grow in H2 2011, dominated by personal and consumer loans, according to a Moody’s report. The country can expect to see its GDP grow 6.3% in 2011 and 4.3% in 2012. However, inflation is expected to stay at around 29% in 2011 and will likely continue at a similar pace. The presidential elections set for the second half of the year are not expected to disrupt new market issuance, Moody’s says. The ratings agency sees more Argentine provinces issuing transactions related to infrastructure for housing during the second half of the year. However, mortgage and auto loan origination is forecasted to slow this year after a considerable spike in growth.