The executive board of International Monetary Fund (IMF) approved this Friday program of 45 billion Argentine pesos for that country, after more than a year of negotiations.
The Programwhich is the twenty-second for Argentina since he joined the Fund in 1956, he replaces one failed for US$ 57,000 million in 2018, which was the largest in the organization’s history. The country still owes about US$ 45,000 million of that line of credit.
A IMF spokesman did not immediately respond to the Reuters query. The reduction of the fiscal deficitthe rise in interest rates interest and cutting energy subsidies with key requirements of the agreement, which does not require labor or pension system reforms.
First disbursement and payment
After board approval, which the government takes for granted, The first disbursement foreseen in the EFF will arrive, for US$ 9,800 million. Last Saturday the IMF confirmed the board meeting and explained that the payment date for this week’s maturities was postponed until March 31.
The agreement with the IMF establishes that there will be 10 disbursements and quarterly reviews. The first, for US$ 9,800 million, will allow for a one-quarter cushion against the next maturities that gives air to the dynamics of revisions every three months, where Argentina must comply with the anticipated fiscal goals to receive each spin before payments.
The chronicler
