The informal meeting of the IMF Board will occur in the midst of tensions due to doubts about the exchange scheme. A meeting is expected between the technical staff and the directors to analyze the new program.
The Board of Directors International Monetary Fund (IMF) plans to keep a Key meeting to analyze, for now, the new financial support agreement to Argentina.
The Government expects that news arising from that meeting on the amount that the multilateral agency could contribute, which would be around US $20,000 million.
IMP DOLARS.JPG
Image created with artificial intelligence
Of that total, About US $ 8,000 million would be fresh dollars, to strengthen the reserves of the Central Bank. The rest of the support, about US $1,000 million, would arrive as reprogramming debt maturities with the agency itself.
New agreement with the IMF: What is known so far
The new extended facilities agreement will be ten years old, with four and a half grace. This will allow to clear Argentina’s maturities until 2029. The net reserves of the central are negative land for about US $ 8.5 billion, according to a report by the LCG consultant.
The informal meeting of the Board of the Monetary Fund will occur in the midst of tensions due to doubts about the exchange scheme. A meeting is expected between the technical staff and the directors to analyze the new program.
As part of the new agreement, the market expects Argentina to implement a scheme of exchange bands or administered flotation, the liquidation of 10% of exports in the CCL (instead of current 20%) and The gradual opening of the stocks.
The shooting of the dollar last week complicated the scheme that Luis Caputo had arranged to accumulate reservations and bet on a “strong peso”.
This is the “Carry Trade”, whereby the Central Bank devalued the official exchange rate of 1% monthly, below an inflation of 2.4% in February, encouraging exporters to liquidate their dollars and invest in bonds, shares or fixed deadlines in pesos.
Source: Ambito
I am a 24-year-old writer and journalist who has been working in the news industry for the past two years. I write primarily about market news, so if you’re looking for insights into what’s going on in the stock market or economic indicators, you’ve come to the right place. I also dabble in writing articles on lifestyle trends and pop culture news.
