Post by firoj1414 on Feb 14, 2024 5:44:44 GMT -5
The executive director of the International Monetary Fund, Kristalina Georgieva, said that The organization is not negotiating another plan with Argentina, beyond the one that is underway: "At this point we are not discussing a new program she said about the possibility of renegotiating a different agreement and more in line with the commitments proposed by the new government of Javier Milei. The official spoke to the press a day after the executive board announced on Wednesday the green light for the disbursement o billion. corresponding to the seventh review of the agreement, with strong praise for the libertarian's “ambitious” policies. In dialogue with Washington news agencies, Georgieva was consulted about the possibility of replacing the current program - which was agreed during the Alberto Fernández government - with a new one more in line with the new president's vision of the economy. much more favorable to a harsh fiscal adjustment, even more intensely than the Fund expected.
Georgieva denied that “at this point” they are discussing this issue, “in my opinion, The Argentine Government correctly decided to resume the existing program ,” she said. And she added that "given the ambition they showed when we discussed the seventh review, it seemed like review number one, because there is a drastically different approach." she said in reference to the abrupt turn Singapore Email List that the relationship with the Fund took since she took office compared to the previous administration. The Fernández government had been failing to meet its objectives, but the program was definitively “derailed,” the organization stated, with serious macroeconomic distortions in the final months of last year, when minister and candidate Sergio Massa launched the “Plan Platita” that blew up all the objectives blown up.
When Milei came to government, he quickly began to negotiate the fallen program with new and more ambitious objectives that imply a strong adjustment: a primary fiscal surplus of 2% of GDP and 10 billion dollars in reserves at the end of the year. The battered agreement was resurrected and the latest revision was approved. The idea of a new program to replace the current one is circulating in Washington, but for now the Fund has not moved any pieces in that direction. I'd rather wait for the current one to end at the end of the year. In fact, it took a clear step in that direction by extending on Wednesday the deadline for the last and tenth review (which was agreed for September) until December 31 of this year, a measure that was understood to give more time to the management. of Milei within the framework of this program so that it can implement its reforms.
Georgieva denied that “at this point” they are discussing this issue, “in my opinion, The Argentine Government correctly decided to resume the existing program ,” she said. And she added that "given the ambition they showed when we discussed the seventh review, it seemed like review number one, because there is a drastically different approach." she said in reference to the abrupt turn Singapore Email List that the relationship with the Fund took since she took office compared to the previous administration. The Fernández government had been failing to meet its objectives, but the program was definitively “derailed,” the organization stated, with serious macroeconomic distortions in the final months of last year, when minister and candidate Sergio Massa launched the “Plan Platita” that blew up all the objectives blown up.
When Milei came to government, he quickly began to negotiate the fallen program with new and more ambitious objectives that imply a strong adjustment: a primary fiscal surplus of 2% of GDP and 10 billion dollars in reserves at the end of the year. The battered agreement was resurrected and the latest revision was approved. The idea of a new program to replace the current one is circulating in Washington, but for now the Fund has not moved any pieces in that direction. I'd rather wait for the current one to end at the end of the year. In fact, it took a clear step in that direction by extending on Wednesday the deadline for the last and tenth review (which was agreed for September) until December 31 of this year, a measure that was understood to give more time to the management. of Milei within the framework of this program so that it can implement its reforms.