“There was no greater catastrophe” than the debt that Macri took on, remarked Cristina Fernández
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Vice President Cristina Fernández de Kirchner affirmed that it is necessary to reach a political agreement to achieve a review of the agreement sealed with the International Monetary Fund (IMF) for the debt that the Government of Mauricio Macri took on.
“Review, not to avoid paying, but to be able to grow,” said the vice president during a dissertation at the National University of Río Negro (UNRN), where she was awarded an Honoris Causa Doctorate.
“The conditions under which the agreement with the IMF was signed will have to be reviewed,” he stressed.
“In an economy with the characteristics of Argentina, this agreement is inflationary,” he remarked and detailed that debt payments in dollars, without imports or transfers or tourism balance, will be “in 2024 greater than 15.4 billion dollars; in 2505, to 18,500 million dollars; in 2026, to 19,200 million dollars; and the following, figures higher than 23,000 million dollars each of the years”.
Cristina Fernández considered it necessary “Agree on the accumulation pattern that we are going to do to have the dollars for the growth obligations, without stereotypes, without cliches; and with political leaders that come together to review that agreement so that they let us grow”he added in the dissertation, during which he referred extensively to the problem that binometarism poses for the country.
After stating that he has given “Samples of pragmatism when it came to defending the country’s interests”, Cristina Fernández de Kirchner considered that the “bi-monetary economy leads Argentina to inflation” and recalled that in 2015 the country “had the highest dollar salaries in the region ”.
For the official, “there was no greater catastrophe than in the indebtedness that occurred between 2015 and 2019”, during the government of Mauricio Macri.
In addition to ruling out that salary increases cause inflation, he stressed that it is not due to the fiscal deficit either: “The virtuous thing is not to spend more than what you earn, but in times of crisis it is what is needed to avoid recession,” he remarked
In this regard, he stressed that only a few countries in the world do not have a fiscal deficit, and among those that do, is Malaysia, whose hydrocarbons company is in talks with YPF to finance the construction of an LNG plant in Bahia Blanca and a pipeline.
For this reason, the vice president called on Argentines to “wake up so they don’t sell you colored mirrors” and called for “aligning prices and salaries so that growth is not taken away by four people.”
“Jobs are created, but with low salaries”complete.
In another order, he indicated that “the dollar today is more of a pattern of conduct than a monetary one” and maintained, 40 years after the return of democracy, “we are without a constitutional democratic state and without a currency.”
“Agree on the accumulation pattern that we are going to do to have the dollars for growth obligations, without stereotypes, without cliches; and with political leaders who come together to review that agreement so that they let us grow”
On the other hand, he warned that “a dollarization will make the Argentine middle classes pay taxes, which are the great consumers” of the US currency.
Vice President said that “a deep reform is required in the Central Bank to take care of the currency”
Vice President Cristina Fernández de Kirchner raised today the need to “make a deep reform” of the Central Bank of the Argentine Republic (BCRA) so that it can “fulfill the role of caring for the currency”, in opposition to those who “want to burn it” in allusion to the proposal to eliminate that institution formulated on several occasions by the national deputy for Freedom Avanza Javier Milei.
“We have to have a Central Bank, although some want to burn it. Gasoline drums are the easiest and fastest to obtain, but do you think that things can be solved that way in the Argentine Republic? The vice president questioned today in one of the sections of his dissertation at the National University of Río Negro (UNRN).
In this sense, Fernández de Kirchner indicated that “a deep reform is required in the Central Bank so that it really fulfills the role of caring for the currency” and “caring for the size of the economy.”
“Because the value of the currency is not the nominal value, the value of the currency is when it becomes a pattern for other economies,” explained the head of the Senate during her presentation entitled “Hegemony or consensus? Rupture of the democratic pact in a bi-monetary economy: inflation and IMF, debt crisis and political fragmentation”.
In this way, the Vice President questioned the idea expressed repeatedly by Milei, of wanting to “dynamite” the BCRA.
“If the great sacrifice occurs, the Argentine middle classes will make it because they are the great consumer of dollars,” he emphasized.
“Those who block the streets will not have major problems; the largest consumer of dollars are the measured classes; if there is a dollarization, the impoverishment of the middle classes will have no limits. How much will their salary be worth?” explained.
Finally, he considered it necessary to “manage foreign trade, to avoid the festival of imports” and produce “a deep reform of the Central Bank so that it takes care of the value of the currency.”
