The designation of Pablo Quirno at the head of the Ministry of Relations, International Trade and Worship from Argentina could be said to inaugurate a new stage of diplomacy: the focus of management will be placed on keep open all possible sources of financing for the country.
and this arises Since the ill-fated announcement about further details of the US bailout, within the framework of President Javier Milei’s trip to that country and his meeting with his counterpart Donald Trump, which had a negative effect on the market.
The advertisement should have served to clear up doubts that persist today among investors about the future of the exchange rate and the economic program. But Trump’s statements generated more confusion than tranquility.
Given the serious error, all eyes fell on Chancellor Gerardo Werthein, who will leave his place in front of the Palacio San Martín next Monday. Needless to say, it seemed that Trump did not have the slightest idea of what is voted in Argentina, nor was it a guarantee of anything that the Embassy in Washington was clearly informed about what was happening in Buenos Aires. Simply put, Trump tends to go back and forth through his statements.
The mission of securing financing
Now it is not strange that a former director of JP Morgan, a specialist in managing third-party funds, accesses the highest echelon of diplomacy: The idea will be that there are no short circuits or misunderstandings regarding US patronage of Javier Milei’s government.
Today, The help of the US Treasury is vital for the survival of Milei and the Minister of Economy, Luis Caputo, who was the one who had the most reproaches with Werthein. Without the swap announced on Monday, nor the direct intervention of the North American Treasury calming investors’ appetite for dollars, the exchange rate would have skyrocketed.
If at some moments of the Argentine history foreign policy was focused on keeping vital markets open for the country, or in other cases to favor commercial exchange, as was the case of Mercosur, With Quirno it is clear that the most important thing of all will be to work to maintain North American assistance and do the best possible role before international credit organizations. And of course Submission to Trump’s geopolitical objectives will be maintained. It will be more difficult for Argentina to be against any US decision.
Maybenew sources of financing for Argentina would be in Europe, and in government-to-government loans. The credits of the past are already on track. In There are no expirations in 2026 with the Paris Club, for example.
The trade agreement
The other job on Quirno’s agenda is to launch the trade agreement with Washington so that a group of Argentine products (there would be 150) can enter that market with zero tariff or below the general 10% that that nation now charges.
At the same time, you will have to maintain trade with China, a country that in August became Argentina’s second trading partner thanks to the shipment of the 20 soybean vessels that did not pay withholdings.
China is the main destination for Argentine meat, given the importance that that nation has gained. In recent years, the Asian giant has begun to develop a penetration strategy in the region, the clearest example of which is Jujuy. Indeed, began visiting local governments directly with money for investments in infrastructure.
Faced with this, The new chancellor will have to decide how to maintain relations with the great global powers that are going to dominate the remainder of the 21st century.
Source: Ambito
