The local market, which rearranged its prices after the holiday the day before, when local assets traded with firm increases abroad, celebrates that the IMF approved the US$45 billion program that it signed with Argentina for the payment of the debt, something that will allow the country to avoid default with the international credit organization.
Along with the agreement, which received 100% approval -the last vote was from the USA-the IMF board approved the disbursement of US$9,650 million immediately. In addition, it gave the country the possibility of run the payment of the next two maturities without falling into default.
The agreement with the IMF establishes a grace period of four and a half years, and extends disbursement payments to 10 years, for which the country will begin to pay off the debt in 2026 and end in 2034, in addition to establishing growth goals , lowering of inflation, strengthening of the reserves of the central bank (BCRA) and quarterly revisions of the accounts.
Operators affirm that the new agreement with the IMF and the recent “time bridge” reached with the Paris Club are good news for the market, although investors remain immersed in growing doubts about the future of the local economy, amid political tensions within the government coalition.
To this must be added the difficult situation in Ukraine after the Russian invasion that sent raw material prices skyrocketing, creating a cautious climate among investors.
“What is being decoded here is political risk, which goes hand in hand with internal tensions in the government, which makes investors uncomfortable”estimated Gonzalo Gaviña from Portfolio Personal Investments.
In terms of news from listed companies, Pampa Energía, one of the main energy companies in Argentina, is analyzing participating in two tenders in Ecuador to expand the supply of electricity through wind farms and a combined cycle plantcompany president Marcelo Mindlin told Reuters.
In the fixed income segment, sovereign bonds denominated in dollars also firmed in their prices after the IMF’s endorsement of the agreement with Argentina, and gained up to 2.2%, after four consecutive low sessions.
For his part, the argentine country risk prepared by the bank JP.Morgan it fell 0.8% units to 1,803 units.
Source: Ambito
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