It is common for foreigners to see the potential of Argentina, an example is Susan Segal, an enthusiast of the possibilities that the country has. Perhaps, for this reason, the United States ambassador abandoned diplomacy to suggest to Argentine politicians that they “work agreements now”, without “waiting 16 months” until the next change of government.
As if Massa had guessed that most businessmen have serious doubts that the political leadership is willing to draw up a medium-term plan. “They talk about consensus but they don’t even agree with each other” It was one of the most heard phrases in the off the record and this criticism was for both the ruling party and the opposition.
“Argentina’s problems are not solved with a couple of measures, the crisis is much deeper than it looks”, synthesized an important businessman while complaining about the bureaucratic obstacles to import supplies, the difficulties in hiring personnel, among many other daily problems that he faces and that are unrelated to the company.
For this reason, and despite the fact that many believe that the “mass style” which they define as “hyperactive and conciliatory” can help navigate this difficult situationdiscouragement is set in the future.
Despite this, in any case the presence of the new Minister of Economy generated much expectation. The proof is that some 500 businessmen gathered, much more than in other meetings, with presences that are not usual in this type of event, such as, for example, Alfredo Coto or Joseph Louis Manzano, Betina Bulgheroni, among many others. In the hall and in the VIP of the meeting (where the main figures were) however, there was a climate of cautious expectation.
“He was greeted like a president” commented one of those present when referring to the great attention generated by the minister. Before, the audience could not help but laugh at the failure of the ambassador to the United States, George Arguello, who mentioned Masa as the “President”
Some of the company directors lamented that Massa had not taken over before. “We would have saved a month” they commented to Ambit. And they added “I hope it’s not too late”. Others, meanwhile, valued that Massa has left the comfort of Parliament to try to channel the economy. But, a large majority, when asked for their opinion on the minister’s speech, answered:”Wait and see”.
Where there is consensus is that Argentina has “enormous opportunities” but that “we did not take advantage”. To cite just one case, the governor of Mendoza, Rodolfo Suárez, considers that there will be a large number of interested parties in exploiting potassium in his province (nearly nine).
And of course they coincide with what was indicated by mario grinmanpresident of the Argentine Chamber of Commerce in that “The only way to progress is by creating more and more companies, consequently more work“.
Seduce
Massa aimed to seduce businessmen by pointing out the need to carry out ordering measures in public spending. Not only with cutting big games, but also with signs of austeritysuch as restricting officials’ trips abroad, something that its predecessor, Silvina Batakis, failed. And, it seems that Massa will have a hard time getting his peers to understand the need to control spending.
Just the spokesperson, Gabriela Ceruti, at a press conference, He denied that any provision is being studied that restricts superfluous expenses or travel as Minister Massa said in the Council. The spokeswoman indicated “It is a duty and an obligation. Superfluous expenses should not exist in the State, so I do not understand that there is an administrative decision with respect to that, but a strict control so that expenses that are not appropriate are not carried out. On the other hand, these controls are carried out with the different control agencies that the State has,” he stressed.
What is certain is that without a resolution, which was denied to Batakis, the restriction of spending in the public administration will depend more on the Secretary of the Treasury not transferring funds.
Where yes, progress is in the freezing of income to the Public Administration and that will also cover State companies.
Agreement
Although Massa insisted on the need for the actors of society to sit down to negotiate, among the businessmen it was possible to observe skepticism as to the possibility of achieving these agreements.
In this regard, they confess their fear that, if the Massa administration were successful, these results could give rise to new confrontations within the ruling coalition that could once again generate instability. “The members of the Government are not partners, they are competitors”synthesized an entrepreneur.
Furthermore, they believe “many politicians are not aware of the seriousness of the crisis” and it was “the soaring of the dollar that allowed Massa to be in the national cabinet today”, they recall.
They concluded that fear is what makes them react, from which they fear that if the situation calms down “they will return to their old ways.”
In addition, some facts of reality lead the government to confusion. For example, company sales figures show that mass consumption is still “very strong”, although they fear that the acceleration of inflation will end up reversing the trend.
How will they react when the rates start to come in and there are protests??, an important oil company wondered while arguing that it would be productive and more effective to encourage the population to save on consumption. doWhat are you proposing that the rates do not rise? asked another important manager with concern. “No way! What I suggest is to reward consumption savings with a significant discount on the rate”. An idea, which they comment on, reached the ears of the Energy team.
For now, Massa anticipated that work is being done to speed up the works related to the Néstor Kirchner gas pipeline, which managed to save some 800 million dollars due to lower energy imports – he thanked the former Secretary of Energy for the negotiations.
Source: Ambito
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