The Minister of Economy, Luis Caputo, during his last press conference said that dollarization “is a goal of this Government and it will be done when the conditions are right.”
Caputo confirmed that the goal of this Government is to dollarize the economy
After the sayings of president Javier Milei who assured that “We are very close to being able to dollarize”his Minister of Economy Luis Caputo ratified this monetary policy by maintaining that: “It is a goal of this Government and it will be done when the conditions are right.” This happened during a press conference held at the Casa Rosada in which the official announced that the fiscal chapter of the omnibus law is being withdrawn to “facilitate and accelerate” the approval of the rest.
During the event, Luis Caputo announced that The Government decided to “remove the fiscal chapter of the Bases law” so that the entire legal framework proposed to Parliament is finally approved. During his speech he also said that he ratified its course towards zero deficit. Among the questions asked by the press, he confirmed that inflation “decelerated sharply in January” and that his Ministry will absorb Infrastructure.
Dollarization: what Javier Milei said
President Javier Milei assured that “We are very close to being able to dollarize”, although he recognized that to reach that objective it is necessary to first “clean up” all the remunerated liabilities of the Central Bank. “If we could clean up all paid liabilities, Argentina would already be in a position to dollarize and that way we would end inflation,” Milei concluded.
“Dollarizing has to do with the currency in which it is settled. I always talked about currency competition and that agents can make transactions in the currency they want.“added the President. Besides, once again ratified its intention to move forward with the closure of the Central Bank.
In this regard, Milei said that “the discussion is still ongoingWhat happens is that within the macroeconomic disaster that we received, we had to start cleaning up the BCRA. Notice that the ratio of remunerated liabilities in terms of monetary base has fallen by a third since we have been there.”
Source: Ambito
