The Fund Board of Directors agreed to the arrival of other US $ 2,000 million to Argentina although it made a series of recommendations.
The Board of Directors International Monetary Fund (IMF) approved the arrival of other US $ 2,000 million to Argentina after the first review of the program. Although they highlighted certain points of economic management, they asked Maintain the flexibility of the dollar, Accelerate the accumulation of reserves and deepen reforms.
In that sense, the international agency warned that they persist high risks and that it will be key to maintain agility in decision makingtogether with a clear communication and well -focused social assistance to sustain political consensus and social around the program.
“Exchange flexibility must be preserved, while the efforts to rebuild reserves. This is essential for Argentina to better manage shocks and lasting the international capital markets in more favorable conditions, ” He analyzed the fund through a statement.
The IMF asked the government to move forward with important reforms
In turn, he remarked that the Government Carry “Properly restrictive policies” although he emphasized the need to “deepen the efforts to deregulate the economyreduce entry barriers and improve state governance and efficiency. “
In addition, from the agency they recommended strengthening reforms aimed at “improving the labor market to promote formal employment and facilitate mobility“,” Attract foreign direct investment through a consistent and equitable implementation of the incentive regime to large investments “and thirdly”strengthen commercial openingeven through the additional reduction of distortive exports taxes, provided that tax conditions allow it. ”
Argentina did not reach the goal accumulation goal: IMF observation
Regarding the accumulation of reservations, The IMF pointed out that the scheduled goal for June was not reached although it acknowledged that other “key performance criteria” were achieved and “corrective measures to bring reservations” to the planned objective were already implemented.
On the positive side, the IMF argued that the administration of Javier Milei managed to carry out policies that supported “a fluid transition to a more flexible exchange regimewith one Inflation in descent and a ccontinuous economic recipient ”.
Source: Ambito
