In that framework, The Ministry of Economy used the pesos lent by the BCRA to buy some US$1.16 billion from the monetary authority itself. and thus meet its debt obligations, in the midst of the understanding reached between the Government and the multilateral credit organization for the renegotiation of a liability that is close to US $ 45,000 million.
After last week’s payment, gross international reserves fell to their lowest level since December 19, 2016. The debt and the demand for imports, in a context of a high exchange rate gap, offset foreign exchange earnings from exports, that are not reflected in the coffers of the entity led by Miguel Pesce.
Regarding the monetary issue, the principle of agreement with the IMF contemplates a gradual reduction of BCRA financing to the Treasury to reach zero assistance in 2024.
In parallel, Economy seeks to strengthen the debt market in pesos. In January, the portfolio led by Martín Guzmán achieved net financing in local currency of $139,070 million, equivalent to 147% of the maturities in the first month of the year.
This allows it to arrive with a significant “cushion” for the coming months, where maturities in pesos are demanding. In February more than $400,000 million expire and in March another $800,000 million, mainly due to the TX22 bond, indexed to inflation.
In 2021, issuance represented more than 4% of GDP, while indebtedness in domestic currency reached 1.6% of product.
Source: Ambito
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