Uruguay Economic Outlook 2026

Summary

Uruguay maintains strong macroeconomic fundamentals, low inflation, and favorable access to financing. However, economic growth is expected to remain moderate (1.3% in 2026 and 1.8% in 2027). Increasing investment will therefore be critical to overcoming structural constraints and developing new drivers of growth.

Key points

• Key points:
• Macroeconomic stability and institutional quality continue to be Uruguay´s distinctive strengths in the region.
• The key challenge is to raise potential growth through stronger investment and productivity gains.
• Growth is expected to remain moderate, supported mainly by private consumption and exports.
• The Mercosur–EU agreement could expand economic scale, attract investment and boost productivity.
• Main risks stem from geopolitical tensions and a potential severe El Niño weather event affecting key sectors.

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