The Economist Ricardo Arriazu estimated that towards end of the year could rise exchange rateas long as the Government meets some conditions such as maintaining the rules of the game.
Furthermore, Arriazu asked ““not to be carried away by siren songs, nor to think that by devaluing I solve all Argentine problems.”
In this framework, he praised the incentive regime for large investments promoted by the Casa Rosada, which is being debated in the Senate.
“We are not yet in a position to open the trap, but if we continue along this path towards the end of the year the Central Bank will be able to accumulate the purchase of another US$15 billion, and at that time it will be possible to lift it,” he noted when speaking at the meeting of finance executives organized by the IAEF.
Regarding the exchange delay, Arriazu said that “the real exchange rate is determined by the market” and maintained that the responsibility of the political class is to “lower the Argentine cost.”
For the economist preferred by Milei, “the recovery will come in the shape of a U, not a V”
Arriazu also recommended “forming countercyclical funds, like the one Chile has,” to avoid the periodic crises that occur in Argentina.
When asked about the energy scenario, he highlighted that the rock Vaca Muerta is “among the best in the world, there are abundant resources, and we have the second unconventional resource in the world.”
“We are efficient, we can produce at less than $40 per barrel. We need the money for the investments that are needed, and that is trust and stable country risk,” he explained.
He highlighted the need to “start recovering the economy” and said that “if there is not a political problem, The drop floor must have been March and gradually recovered. “In the shape of a U, not a V. If people are afraid, they will buy dollars and that lowers activity.”
“It is clear that if there is no political problem, the economy will begin to grow. They adjusted the Product by 7 points, it was not necessary that much. The devaluation cost Argentines 89,000 million dollars,” he said.
Source: Ambito
