The authorities of the International Monetary Fund were informed about treasure interventions in the dollar markethe said Julie Kozack Director of Communications in the framework of a press conference offered this Thursday in Washington. Although, he reiterated about the need for accumulate reservations through transparent mechanisms.
No trip of the Minister of Economy, Luis Caputo, to the IMF before the annual meeting of the fund that will be held in mid -October in Washington, said Kozack, Kozack said, while commenting that the head of the Palace of Finance He talked at the beginning of the week with the managing director.
Monetary transparency and treasure intervention: the IMF’s response
In relation to the interventions of Argentine economic driving in the change market to contain the increase of the dollar, Kozack revealed that “Our staff were informed of the recent treasure interventions in the cash market, which, as the authorities explained, were a temporary response to the greater market volatility.”
He added that “In the conversations that the team has maintained with the authorities, we have continued to emphasize the importance of a transparent, consistent and predictable monetary and exchange frame to help manage market volatility.”
Specialists in the field estimate that the Fund would see with pleasure that Argentina implements a scheme of accumulation of reservations similar to that implemented by Chile.
When consulted on the situation in matters of accumulation of currencies in the Central Bank, the spokeswoman again referred to the last report of the technical personnel pointing out that “We have encouraged, of course, the authorities to continue their efforts to rebuild reserves, strengthen confidence in weight, reduce differentials and ensure timely access to international capital markets. ”
The official did not refer to the consultation made by Scope On the impact of the electoral result, support for the necessary reforms to consolidate the economic program, but reiterated that “IMF staff collaborates closely with the Argentine authorities In the implementation of its program, which, of course, seeks to consolidate stability and strengthen Argentina’s growth prospects. ”
In particular, he said: “We support the continuous adhesion of the authorities to the fiscal anchor and their integral deregulation agenda, as well as its commitment to safeguard the sustainability of the exchange frame and monetary framework of the program ”.
Kozack indicated that the agency celebrated the fiscal surplus achieved in August and said that “We expect with interest the 2026 budget to continue this progress and lay the foundations for the necessary tax reforms, as well as to consolidate the necessary achievements.”
The anti -inflationary policy was also weighted by the background: “We deeply recognize the important progress in the reduction of inflation, which has resulted in monthly inflation of less than 2% for four consecutive months.”
In this regard, he said that “We also recognize the role that a restrictive monetary policy has played to limit the trajectories of the exchange rate that lead to inflation.”
The spokeswoman recalled the report of the technical personnel for the first review of the program, to indicate that “The improvements in the framework of monetary and liquidity management should continue to mitigate the volatility of interest rates and the associated negative effects on economic activity.”
Finally, he said that Giorgieva “spoke with Minister Caputo earlier this week to talk about the progress of the implementation of the program, and We hope that Minister Caputo attends annual meetings in October, as always. ”
The support of the IMF
The instability of financial and exchange markets and the wide electoral defeat suffered They generate restlessness among managers of multilateral credit agencies.
Last Tuesday afternoon, in a context of pronounced falls of Argentine assets and tensions with the dollar, The IMF went out to give a strong support to the administration of Javier Milei. For those hours, some shares had lost about 20%, the dollar approached the roof of the band and the country risk exceeded 1,100 points.
That day Kozack posted on the social network X: “The Staff of the IMF He collaborates closely with the Argentine authorities in the implementation of your program to strengthen stability and improve the growth prospects of the country. We support your commitment to guarantee the sustainability of the exchange framework and monetary framework, as well as its continuous adhesion to the fiscal anchor and the integral deregulation agenda ”.
The concern of the Fund for Argentina has more than one cause, analysts point out. From the point of view of the economic guidelines, Milei’s policy is perfectly framed in the central recommendation of the multilateral organism in its stabilization programs, referring to the need to achieve fiscal balance. But it should also be taken into account that the country is the largest debtor in the IMF.
Kozack’s message was quickly reproduced by the Minister of Economy, Luis Caputoand minutes later by the president. On that occasion, Milei insisted on his decision of Keep the course. He published: “As I pointed out on Sunday, we will not move a millimeter of the economic program: (1) fiscal balance; (2) adjusted money market; and (3) in the exchange, the exchange bands agreed with the IMF are maintained. In addition, we will continue to deregulate.”
The strong and timely support of the IMF contributed to the markets relatively to the markets. The agency had been praise for the progress of the program implemented by the Argentine government. The last time he pondered the progress made by Milei’s management was at the end of last July, when the agency’s Board approved the first review of the current program that enabled a disbursement of US $ 2,000 million.
Source: Ambito
