IMF calls on Argentina to implement measures on the quality of official data
The International Monetary Fund announced on Tuesday that it “regretted the lack of sufficient progress” with Argentina to address the quality of the official data reported by the country and urged it to come up with a response to the organization’s concerns by December 17th.
The Executive Board is scheduled to meet again on that day and “may consider additional steps based on Argentina’s response and in line with IMF procedures,” a press release said.
“The IMF’s Executive Board met on September 17, 2012 to consider the Managing Director’s report on Argentina’s progress in implementing the remedial measures to address the quality of the official data reported to the Fund for the Consumer Price Index for Greater Buenos Aires (CPI-GBA) and Gross Domestic Product (GDP).
“The Executive Board regretted the lack of sufficient progress in implementing the remedial measures since its February 1, 2012 meeting and expressed to the authorities its concern that Argentina has not brought itself into compliance with its obligations under the IMF’s Articles of Agreement by implementing the said measures. The Board took note of the ongoing dialogue between the IMF and the authorities regarding the measures, and called on Argentina to implement the measures without delay.
“The Managing Director is required to report to the Executive Board by December 17, 2012 on Argentina’s response to the Fund’s concerns. At that time, the Executive Board will again review this issue, and may consider additional steps based on Argentina’s response and in line with IMF procedures”, concludes the brief communiqué.
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We don't need the IMF. They only exist to prop up the West and to politically and socially repress Argentina. Pigs! Dirty European pigs! It's nothing to do with Argentina. The sooner we cut off all ties the better.
So many years before saying nonsense to our country, that never helped us.
and get a decent leader, one who cares for the people, rather than their own vanity.
Will the IMF EVER do something about the unruly child of the financial world?
Also, there is a lot of public unrest against the government in Argentina. The IMF may not want to be accused of tipping things against the government when, given a little more time, the cart is going over with no outside interference.
I wonder if she has thought this through or even realize this?
I suspect a negotiations are on-going but this is the last chance saloon for Argentina.
Off topic a little:
Looks like there are having their 1 hour debate to allow kids and forieners to vote today.
And Garre' says there is no increase in croime.....as the hospitals want to strike over the recent violence and a cop was killed the other day.
We should not lump all Argentineans together for that fact alone.
AND, consider this: ONLY 5% of the voting public need to change their vote (in a two candidate race) to the other candidate and TMBOA has lost.
But I have little doubt she will stand again, her ego will not let her stand down.
It does not matter as long as she loses.
P.S. Got back from Argentina on Monday after a week staying with the family, any questions anyone wants to ask?
I would say it is their own fault for wanting to be part of the club but refusing to play by its rules.
They, of course, won't see it this way
They're about to get a major wakeup call, and the majority of the youth deserve what's coming. Just because the West is rich, doesn't mean you can blame it for your own problems.
They can't change them too much. The reason why they have been manipulating the inflation figures is so that they won't have to pay out under their inflation-linked bonds. I won't be surprised if they decided that they would prefer to annoy the IMF as they will feel that they are still keeping in control of their cash-flow. They obviously won't think through what censure by the IMF will mean...
So we are talking Kirchner Pride, suddenly the poverty rate is 50%, there was a recession in 2009, GDP growth has been good but not great, unemployment is ok not good, etc etc. Do you see what this does her beloved Nestor's legacy? I guess all countries shouldn't follow the K way. It is an International embarrassment and a huge blow to the “dear leader's” legacy.
She leaves in shame and dragging Nestor with her.
So I don't see them doing anything, I think she thinks they can some get out of this diplomatically and it will all go away.
I think she is going to un-pleasantly surprised in Dec.
Merry Christmas.
That is sort of my take on it too, I think she feels that the IMF is all gong and no dinner. You can't ask for extra time indefinitely...
IMF gave argentina, in my opinion too much praise, which is why I think they will make the changes forthwith and not retro-active.
Stiglitz helped translate one from bureaucratise, a “Country Assistance Strategy.” There's an Assistance Strategy for every poorer nation, designed, says the World Bank, after careful in-country investigation. But according to insider Stiglitz, the Bank's staff 'investigation' consists of close inspection of a nation's 5-star hotels. It concludes with the Bank staff meeting some begging, busted finance minister who is handed a 'restructuring agreement' pre-drafted for his 'voluntary' signature (I have a selection of these).
Each nation's economy is individually analyzed, then, says Stiglitz, the Bank hands every minister the same exact four-step program.
Step One is Privatization - which Stiglitz said could more accurately be called, 'Briberization.' Rather than object to the sell-offs of state industries, he said national leaders - using the World Bank's demands to silence local critics - happily flogged their electricity and water companies. “You could see their eyes widen” at the prospect of 10% commissions paid to Swiss bank accounts for simply shaving a few billion off the sale price of national assets.
And the US government knew it, charges Stiglitz, at least in the case of the biggest 'briberization' of all, the 1995 Russian sell-off. “The US Treasury view was this was great as we wanted Yeltsin re-elected. We don't care if it's a corrupt election. We want the money to go to Yeltzin” via kick-backs for his campaign.
Stiglitz is no conspiracy nutter ranting about Black Helicopters. The man was inside the game, a member of Bill Clinton's cabinet as Chairman of the President's council of economic advisors.
Most ill-making for Stiglitz is that the US-backed oligarchs stripped Russia's industrial assets, with the effect that the corruption scheme cut national output nearly in half causing depression and starvation.
After briberization, Step Two of the IMF/World Bank one-size-fits-all rescue-your-economy pl
The peso has no backing...
Step One is Privatization - which Stiglitz said could more accurately be called, 'Briberization.' Rather than object to the sell-offs of state industries, he said national leaders - using the World Bank's demands to silence local critics - happily flogged their electricity and water companies. “You could see their eyes widen” at the prospect of 10% commissions paid to Swiss bank accounts for simply shaving a few billion off the sale price of national assets.
After briberization, Step Two of the IMF/World Bank one-size-fits-all rescue-your-economy plan is 'Capital Market Liberalization.' In theory, capital market deregulation allows investment capital to flow in and out. Unfortunately, as in Indonesia and Brazil, the money simply flowed out and out. Stiglitz calls this the “Hot Money” cycle. Cash comes in for speculation in real estate and currency, then flees at the first whiff of trouble. A nation's reserves can drain in days, hours. And when that happens, to seduce speculators into returning a nation's own capital funds, the IMF demands these nations raise interest rates to 30%, 50% and 80%.
At this point, the IMF drags the gasping nation to Step Three: Market-Based Pricing, a fancy term for raising prices on food, water and cooking gas. This leads, predictably, to Step-Three-and-a-Half: what Stiglitz calls, “The IMF riot.”
The IMF riot is painfully predictable. When a nation is, “down and out, [the IMF] takes advantage and squeezes the last pound of blood out of them. They turn up the heat until, finally, the whole cauldron blows up,” as when the IMF eliminated food and fuel subsidies for the poor in Indonesia in 1998. Indonesia exploded into riots, but there are other examples - the Bolivian riots over water prices last year and this February, the riots in Ecuador over the rise in cooking gas prices imposed by the World Bank. Yo
Last time I ended up having to buy food for my friends/family from discovirtual though...
The sad part is 10 yrs and they accomplished nothing. Nothing. The streets are in ruins, electrical grid is on the verge of collapse, driven out all FDI, Farming is in ruins, Cattle gone and now heading into a generational depression.
My Rg friend is very scared he may lose his visa and have to go back. I think he will become illegal here rather than risk it back in BA.
Her plan was Venezuela with out the oil so let's say Zimbabwe...
She has been in hiding for a week but emerged yesterday and made absolutely no comment on the massive protest against her government. I guess they decided on the 'pretend it didn't happen' method of dealing with the problem.
(Reuters) - Argentina's government will use up to $7.97 billion of the central bank's foreign reserves to pay debt next year, the government's 2013 budget bill showed on Thursday.
In the 2012 budget, the government earmarked $5.67 billion in reserves to repay private creditors
Point out 1 (one) single of her advisors, who is NOT a 'Yes! Mam' man.
Anyone contradicting her whims is thrown out and can expect a visit from AFIP (the Argentine IRS) acting as a proxy for Gestapo.
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