The ten definitions of the dollar, fixed term and rates that Guzman left in Russia

The 10 definitions of Guzmán

“The decisions of the leaders of the Front of All are decisions of the leaders of the Front of All. What I have to do is manage the economic policy”

“What happened is that they ended up choosing between the alternative of an agreement on pillars that are reasonable, in a context in which no one in our political force can be happy with having the International Monetary Fund in Argentinabut it is a reality

“The Fund made an allocation of 650,000 million dollars of SDRs and of that allocation there are countries that are going to be recycling them and it was announced that a new line of credit will be created, in the context of multilateralism, to allow part of those SDRs to be channeled towards a new facility. And that facility that converts new loans into the capital line to meet the needs that are faced in this part of the 21st century”

“In 2018 and 2019, 44.5 billion dollars of the credit of the stand-by program were disbursed. The great concentration of maturities of that debt occurs between 2022 and 2023: 19,000 million dollars in 2022 and 20,000 million dollars of principal and interest in 2023. Argentina directly does not have those dollars to pay“.

“When there are fewer dollars, there is less economic activity, there is less employment and there is more inflation. If there had been no progress towards an agreement, the country would have entered a situation of non-payment, there would also have been fewer dollars than there are in the case of an agreement with the bases that were reached. Because there would be less financing from the multilateral development banks that they lend us today and also less financing from bilateral creditors. In addition, there would possibly be an outflow of dollars from Argentina”

“The Fund had as a feasible scheme to advance in a program a fiscal path that, from our point of view, would have destabilized the economic recovery, which included a contractionary policy of real spending. (…) In that period, between January 7 and January 27 or 28, because it was past 12 at night, there were a series of movements, especially in fiscal parameters.“.

“What is sought is to reduce the fiscal deficit without a contraction in real spending. On the contrary, spending has a moderate expansion. This already happened in 2021, the year in which there was a very strong reduction in the primary fiscal deficit of 3.5 points of the product, at the same time that the State had an expansive and countercyclical role that underpinned the economic recovery and that led to an expansion of real spending.

“What is sought is to advance in a reduction of the amount of subsidies in relation to the productpointing to a goal of 1.7 of the product for the part of energy subsidies for the year 2022. And it seeks to do so by combining the update already published with the segmentation of subsidies, which is precisely a way of subsidizing users who They are in a more vulnerable situation.

“We have four components to attack the inflationary phenomenon: the first aims to improve the supply of tradable products in our economy, that is, to improve the productive capacity in the sectors that can generate foreign exchange (…). Second, improve the financing profile of public policy, depending less on the monetary issue. That is why it is important to strengthen the domestic capital market.”

“In third place, a monetary policy that rewards assets denominated in pesos with positive real returns, to strengthen the demand for those assets and that those pesos have less chance of going to demand for foreign currency. And in this way also strengthen the foreign exchange strategy. And fourthly, the role that the State plays to contribute to an anchoring of expectations and facilitate coordination between the different sectors of the economy that make pricing decisions“.