The disbursement occurs within the framework of meeting the goals agreed with the IMF for the last quarter of 2022. Meanwhile, Massa and Alberto Fernández travel to Washington to meet with Biden.
The former director of Western Department of the International Monetary Fund (IMF), Alexander Wernerassured that the agency will approve the next disbursement for US$5,300,000 planned for Argentina after the approval of the fourth review of the extended facilities agreement. “Politically, it would be very unwise for the Fund not to make a disbursement if it is perceived that this could be the trigger for a more advanced step in the deepening of the Argentine crisis.Werner noted.
In this sense, he added that the IMF will try to avoid at all costs a possible situation of capsizing of the Argentine economy. “The Fund avoided being accused of being the cause of the Argentine situation. On other occasions he has been much more involved; that has to be recognized. Why put yourself in the situation of being the detonator of a much more critical situation by not approving a disbursement?“, raised the economist.
For the former director of the organization, they are going to try to force Argentina to make a slightly bigger adjustment: “That they fix something here, that they tighten a nut there, but in the end they will authorize the next disbursement,” he assured.
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Bloomberg
Regarding the continuity of the negotiations, he indicated that, “Perhaps, after the disbursement in June, they can do something so that everything is kicked off by December and they can already talk to the new government“. In this way, he considered that the IMF will avoid putting itself “in the center of the election in Argentina.”
“I think the results in Argentina are there, but if the economic situation worsens, it will clearly have an electoral impact, and the last thing the Fund wants is to become an even more important player in this year’s presidential election.Werner concluded.
Source: Ambito
