The Government negotiates a new IMF disbursement

He Government is in informal talks with the International Monetary Fund (IMF) to establish a new agreement that includes fresh funds. The Minister of Economy, Luis Caputo, confirmed that the negotiations focus on two key aspects: the amount of money that will be part of the new program and how the disbursements will be distributed.

Caputo highlighted that the new agreement of the Government It will likely involve a larger amount of funding compared to the previous program. “It is not the same that they pay you USD 1,000 million at the beginning, that USD 12,000 million comes in,” he explained during an interview.

This difference in the distribution of funds is crucial for the country, since it will allow better management of resources and greater economic stability. The IMF has also shown its willingness to help Argentina consolidate the positive results of the current economic program..

IMF spokesperson Julie Kozack stated that Argentine authorities have continued to implement their economic stabilization program, achieving a considerable reduction in inflation, a fiscal surplus and better reserve coverage.

The Government negotiates a new IMF disbursement

Furthermore, there have been signs of recovery in both economic activity and real wages. However, the IMF has warned that it is essential to continue adopting a coherent set of fiscal and monetary policies to maintain these results.

“To maintain the durability of these impressive results in terms of stability and growth, it of course remains essential to continue to adopt a coherent set of policies, including in the fiscal, monetary and exchange rate areas,” Kozack said.

The Government negotiates a new IMF disbursement

Relationship

President Javier Milei has indicated that the reduction in country risk makes things easier when asked about the relationship with the IMF. “The lowering of the country risk makes things much easier,” Milei said in an interview.. This reduction in country risk opens new possibilities for the country, such as the possibility of placing new debt on the market at single-digit rates.

He Government It is also considering other options, such as exchanging shorter bonds for longer securities, which would allow capital maturities to be stretched by at least five years. This formula would allow coupons to increase and improve the country’s financial situation.

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