He IDEA Colloquium It once again brought together the main figures of the national business community and the political leaders who will have responsibilities in the future. In this framework, the executives expressed their opposition to the dollarization promised by Javier Milei and they answered the monetary proposal which candidate they prefer.
A Reuters poll 125 businessmen who participated in the summit held in Mar del Plata consulted for three economic proposals: keep in weightchange to a bimonetary system peso-dollar or transform the currency and establish a dollarization total.
Of the total number of respondents, only two responded to agree with dollarizethe proposal of Javier Milei. The executives justified their opposition to this system given that it would mean losing the ability to act in the monetary politics. “We are left without an anchor to adjust monetary variables and the experiences in other countries have not been good,” a businessman explained to Reuters.
The main proposal they support is that of Patricia Bullrich: almost 66% of respondents support a bimonetary economy. At the same time, 80% assured that the candidate of Together for Change It is his favorite to stabilize the economy.
Although more than 30% of businessmen said they were in favor of maintaining the peso, reducing its devaluation, only 11% support the candidacy of Sergio Massa. That figure is reduced to 7% support for the idea of Javier Milei in the presidency.
Finally, when asked about the exchange gapthe business community aligned itself mostly in favor of eliminating controls and setting a exchange rate real between $650 and $1,000 per dollarwhich would imply a devaluation of more than 100% with respect to the current official exchange rate of $350.
The IMF answered what happens if the Argentine economy is dollarized
He International Monetary Fund (IMF) warned the Argentina that dollarization of the economy is a measure that if taken would require “important preparatory steps” and it is in no way a “substitute” for the macroeconomic policies that the country must address. This was emphasized at a press conference by the IMF communications director, Julie Kozack, When asked about the proposal he defends Javier Milei.
Kozack also had an implicit message for another candidate, the Economy Minister Sergio Massa, who in recent weeks took multiple measures that represent an increase in public spending in full electoral campaign.
The IMF communications director assured that this organization is trying to “understand better” and “study” the impact of recently taken measures, and spoke of the possible “need” to take “compensatory” actions to try to strengthen stability and safeguard the objectives of the refinancing program.
Kozack warned that economic situation Argentina remains “very complex”with very high inflation that continues to grow, without fiscal buffers and with “fragile” social conditions.
He recalled that the Argentine authorities agreed with the Fund on a fifth and sixth review of the agreement of debt refinancing in which there was a commitment to rebuild reserves and restore fiscal order, protecting the most vulnerable.
“It is in the interest of the Fund” and from Argentina itself that both parties continue working “together and closely”, reaching the greatest possible consensus to ensure the stability and prosperity of the country,” said Kozack, who warned that it is “too early to speculate” on the demands that may be put on the table in the next review.
Source: Ambito
