This was estimated by the director of Ceres, Ignacio Munyo, who considered that the Uruguayan government should “resign some goals.”
He exchange delay of the dollar in Uruguay is of the order of 25%, according to the calculations of the director of Ceres, Ignacio Munyo, who anticipated that the situation will remain the same until 2024, for which reason he even considered that the government should give up some of your goals, such as inflation, to try to appreciate the US currency.
In a context where the dollar remains low throughout the world and has been falling for ten consecutive days, below the floor of 38 pesos, Munyo considered that this listing affects the local economy. However, he admitted that the depreciation of the Uruguayan peso would cause problems linked to “established macroeconomic planning” and wage negotiations with the unions.
When describing the current situation, during a breakfast organized by Ceres, he pointed out that “Uruguay is in a very complicated situation of exchange rate delay.” He described it as “a persistent, problematic phenomenon, that has the main businessmen of the country and also the people concerned”.
When analyzing the gap, which he placed in the order of 25%, he admitted in statements to the press that “the dollar has a downward trend as in the whole world.” However, he indicated that during 2022 “a divorce was seen between the dollar in Uruguay and the rest of the world and that made it expensive”.
Ignacio Munyo, director of Ceres.jpg
Photo: Ceres
The appreciation of the dollar will not occur during 2023
At a time when some sectors are asking for a price of up to 50 pesos to the dollar, Munyo considered that correcting this exchange rate delay will not happen in the short term. “Getting out of this trap is going to bring important conflicts with the established macroeconomic planning and with the unions for salary rounds”, pointed out the specialist.
The economist considered that “the dollar will continue to lag until 2024” and summed up: “We are going to continue to be expensive and there is not going to be a change in the short term.” In addition, he recognized that measures to gain competitiveness could lead to other conflicts. “If one wanted to facilitate imports from border countries, it would create problems with local distributors. It would also generate a conflict with the public sector, with regulations that should be eliminated ”, he analyzed.
In this sense, he considered that “a situation sustained over time, with such a low dollar, conspires against investment and employment”. For this reason, the director of Ceres concluded: “It affects the future, it is not sustainable forever, which does not mean that it cannot be maintained for a couple more years.”
Source: Ambito
