MercoPress. South Atlantic News Agency

Controversy over the IMF

Argentine public opinion is split down quiet evenly regarding the convenience or not of reaching an agreement with the International Monetary Fund to obtain much needed financial assistance to overcome the current crisis.

An opinion poll published this weekend indicates that 38% of those interviewed consider essential an agreement with the IMF, while 42% favor breaking off talks. The IMF is insisting Argentina present a viable, long term economic program and a balanced budget before disbursing much needed funds.

Last November IMF suspended all aid to Argentina when the country failed to meet agreed budget and monetary targets, helping to spark violent unrest that ended forcing the resignation of former president Fernando De la Rúa on December 20th.

The current president, Eduardo Duhalde nominated by Congress, has been desperately talking with the IMF to obtain the funds that should help the country overcome the almost four years running recession with record unemployment and poverty levels. However there's strong resistance to accept IMF's recommendations from certain political sectors and the trade unions. Even in Mr. Duhalde's ruling Peronist Party, 46% are against negotiations and 36% accept them.

Regarding age groups, the poll conducted by the conservative New Majority Studies Center indicates that young people are most opposed to a deal with the IMF if it means complying with many of the austerity conditions. In the 18/29 years group, 49% favor breaking off talks and 36% reaching an agreement. In the 30/54 years group, opinions are evenly split in 38% for each side.

President Duhalde in press interviews over the week end, after meeting with European leaders in Madrid, admitted "there's no other alternative but to reach a deal with the IMF, because that's the safeguard for our economic recovery".

Mr. Duhalde also anticipated Argentina will comply and have the bills requested by the IMF and the agreement with the provincial governments by the end of the month.

"I'm convinced we'll sign an agreement with the IMF in early June. We're all convinced about this, and once we've reached that stage many European countries have promised further bilateral assistance", stressed President Duhalde.