The Minister of Economy insisted that there is still no defined date to open the exchange market but stressed that “there are certain conditions that have begun to exist.”
The Minister of Economy, Luis Caputohe referred again to the opening of the trap and explained that in order to meet this objective there must be “an injection of reserves” in the Central Bank. Although he stressed that “There is no definitive date,” he stressed that “there are certain conditions that began to exist.”
The official highlighted that one of the three guidelines that the libertarian administration imposed to open the exchange market was “a level of reserves in the BCRA that is more appropriate.” In that sense, he explained: “In the year We bought 18 billion, but we made payments. Today net reserves remain negative. To get out of the trap, an additional recomposition of the balance sheet, an injection of reserves, is essential,” he said in dialogue with Radio Miter.
In this regard, he added that they also hope “that the inflation rate converge and that the broad monetary base converges towards the monetary base”. “This means that everything surplus of pesoswhich we inherited at the time and were decreasing, is balanced and demanded by the people“, accurate.
The official left aside the deadlines and assured that the Government’s objective is not to open the stocks on a specific date but to be able to guarantee that “the exit is as least traumatic as possible.”
“We have not set a date for leaving the prison, but rather conditions. The idea is to have them so that the exit is as traumatic as possible or, in short, that it is not at all. “There are certain conditions that began to exist and are converging towards what we want.”.
Caputo stated that “you can grow with stocks”
Hours before, the head of the Treasury had said during a conference at the Latin American Economic Research Foundation (FIEL) that “you can grow with stocks” and assured that “Argentina, next year, will be growing at 5% or more, even with stocks”
In any case, he announced that “Next year at some point he will get out of the trap.”
For Caputo, the exit from the stocks “is a matter of conditions and not time”, since Argentina has to gain competitiveness by “lowering taxes” and not devaluing. “Over time, these conditions will continue to improve. We want to do it when we are 100% sure that it will not generate any problems in the economy,” he mentioned.
Source: Ambito
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