Yesterday the text in which the FMI explains the criteria by which it approved the fourth review and enabled the transfer of 5.4 billion dollars. The approval was announced on Friday.
In that document it was detailed that the Fund returns to the charge with accelerating the pruning of subsidies, which would impact on the rise in rates of public services.
The IMF asked Argentina to expedite the removal of subsidies to energy rates for the sectors with the greatest purchasing power, while demanding to “limit the fiscal impact” of the pension moratorium recently approved by Congress through “strict regulations” to that only “those of need” enter.
This is how it appears in the statement of the organization known yesterday, after the meetings held in Washington by the Minister of Economy, Sergio Massawith the number two Gita Gopinath and with the Secretary of the Treasury, Janet Yellen.
The text recognizes that the drought produced a misalignment of the plans established in the original agreement for 2023, therefore recognizing the need to reduce the reserve accumulation goals, which this year were US$ 12.4 billion, and which would be reduced by $2 billion.
But he warns of the need to redouble the adjustment to ensure that the fiscal deficit remains at 1.9% of GDP, something that in nominal terms will surely rise due to the effect of inflation. In other words, the final number could be higher than expected, but always representing 1.9% of GDP.
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