In turn, Fundación Mediterránea stated that “the official policy is aimed at supply the problem of the scarcity of reserves through external indebtedness and export advanceson which there are still no further details or results,” said the Mediterranean Foundation.
And they expanded that “they are trying to avoid a sudden devaluation of the peso, but without being able to control expectations, which are going in the opposite direction. It is a very challenging economic policy scenario, in a framework of political support whose evolution must be followed to future”.
For its part, a report by the JP Morgan bank stated that “in the future, a bold fiscal consolidation effort together with a reduction in the exchange rate gap appear as necessary conditions to rebuild the ‘stock’ of net reserves and achieve sustainable disinflation,” the JP Morgan bank said in a report.
Inflation
This week it became known that inflation accelerated in July to 7.4% compared to June and reached the highest level since 2002 when it reached 10.4%. Meanwhile, in the last 12 months it accumulated an increase of 71%, the highest in three decades, as reported on Thursday by the National Institute of Statistics and Censuses (INDEC). Also, in the first seven months of the year, accumulated inflation reached 46.2%.
Bookings
The Central Bank chained this Friday its third consecutive day with a slight buying balance, at the end of the round with a positive balance of US$1 million, compared to an energy demand that stood at US$50 millionindicated sources of the monetary authority.
The BCRA came as a buyer for some US$3 million on Thursday and another US$15 million on Wednesday, the day on which it ended a streak of 10 days in a row with sales, in which he accumulated a negative balance of about US $ 1,200 million.
Fees
Seeking to try to stop the acceleration of the price index, the Board of Directors of the Central Bank decided last week to raise its monetary policy rate sharply, by 950 basic points. In this way, the annual nominal interest rate of the Liquidity Bills (Leliq) at 28 days went from 60% to 69.5%.
Simultaneously and in order to increase the incentive to save in pesos, the BCRA raised the minimum limits of the rates of interest about the Fixed deadlines of human persons, establishing the new floor at 69.5% per year (from the previous 61%) for 30-day deposits up to 10 million pesos.
Treasury maturities
The Ministry of Economy obtained this week $182,772 million through three debt securities in pesos and thus managed to cover all pending maturities for this monthalthough to achieve this it had to validate rates close to 100% effective annual.
This is the first auction of debt securities in pesos carried out by the Ministry of Finance after the exchange carried out on Tuesday, for which the payment of $2.1 billion that was due in the next 90 days was deferred until 2023.
In the tender, 1,225 offers were received, representing $307,011 million in face value, of which an effective value of $182,772 million was awarded.
Of the total financing obtained, 68% was represented by fixed-rate instruments and the remaining 32% resulted in the instrument adjusted by CER (inflation) maturing in 2023.
“Due to the success of the tender, tomorrow the Second Round will not take place within the framework of the Market Makers Program, having reached the amounts established according to the maturity profile of the securities offered”, highlighted the portfolio directed by Sergio Massa through of a statement.
Source: Ambito
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