The president’s economist and ex -mane, Fausto Spotorno, analyzed the economic course of the government In the midst of tense days after what meant the defeat of freedom advances before the Patria Force for almost 14 points in Buenos Aires legislative elections. “The government is not being able to accumulate reservations and that makes the question of how it will appear pay“He stressed.
In this scenario, Spotorno also said that “Argentina needs to refinance debt.” In addition, he echoed the words of Javier Milei – who explained that he will correct errors, but he will not change the economic course – and said: “We are talking about the core of the economic program, it is perfect to say that you will continue. But they are messages that each one understands how they want. “
Market questions after electoral defeat
At the beginning of his analysis, the economist explained that: “There was a government error with the departure of the Lefi, generating a huge noise.” In this regard, he added that after this – and the adverse electoral result – “we will have a few days moved, because this did not solve uncertainty. It can be generated by the high interest rate, the Lefi, Leliq, which are long term, and others that are short term “
“Finishing the stocks for companies is something important. That is still, when there are companies that want to invest, it is a problem,” he explained. On the exchange flotation scheme, he sentenced: “The dollar floats, but it is a dirty flotation. “
Thus, for the exassor of Milei, the central problem is still related to the accumulation of reservations and the payment of the debt. “The missing dollars to pay the debt are possibly the explanation of why the country risk was the most harmed,” he explained about the index that was around 1,100 on Monday.
“Argentina needs to refinance the debt, but we do not know how to refinance it. The government is not being able to accumulate reservations and that makes the question of how it will pay appears,” he remarked about future fears on the ability of the Milei team to accumulate currencies in the BCRA.
In this sense, the economist deepened: “He says that we get the reserves, but no world government can be sustained if he does not enter the capital market. When these uncertainties begin in a country like Argentina, where another economic plan is changed with each government, it is logical that the country risk is triggered“
Finally, Spotorno stressed that accumulation goals “in number of dollars, it is not so large” but that currently “it is costing a lot to get there.” “In part it is a political issue, and in part economic, “he concluded.
Economic stabilization and electoral costs
On the other hand, according to Spotorno the government applied so far “A stabilization plan“In that sense, he stressed:” He has all the condiments to be. Here everything went both, but I still consider it so. “
“We know that any economic stabilization program has costs. People who are paying that cost, when you tell him that this will follow, he doesn’t like it. But when you talk to an investor, you can not change everything because they invest based on an established economic plan“He analyzed on the electoral impact of the measures and stability of the macroeconomic program.
Source: Ambito
