MercoPress. South Atlantic News Agency

Argentina “only” accepts IMF “technical revision” of its economy

Economy minister Amado Boudou and Kirchner tactics: no but yes…

Economy Minister Amado Boudou said that the Argentine Government “will not accept any conditions” on its economic policies, allegedly rejecting an eventual revision of its accounts by the International Monetary Fund (IMF).

“We didn't come here looking for a revision of Article IV, nor is it on the agenda of our trip,” Amado Boudou said in declarations to the press in Washington, where he is participating in the biannual meeting of the IMF and the World Bank and of a series of encounters with his counterparts of countries that members of the Group of 20 (G-20).

However Boudou said that the IMF revision could be done “as long as it's a technical revision, with the necessary volume of information”. The revision is part of the requirements if Argentina is to repay its pending debt to the Club of Paris, as it has announced.

Boudou's words released by the Press Office of the Ministry of Economy of Argentina were made known after the IMF's Vice-president, John Lipsky, said that Argentina, as well as the rest of the entity's members, is obligated to allow a revision of its economy, and is expected to do it “in a reasonable time.”

Boudou considered that the history of the link between Argentina and the IMF ”doesn't begin in 2003 (with the government of Néstor Kirchner, but that) it goes back to Martínez de Hoz“ during the 1976 dictatorship.

The official assured that ”there are ministers that have carried out mistaken policies, claiming that it was an imposition of the IMF. Other times, it was the organism that boosted those policies against our country. All of this has generated deterioration in our relationship.“

”In this context, we must see what the economic revision implies (the application of Article IV) of the IMF,“ said the head of the Ministry of Economy. In this framework, ”this Government will not accept any kind of conditions on its economic policies,“ the minister emphasized.

According to IMF first deputy managing director John Lipsky, the institution hopes to reach an agreement with Argentina ”in a reasonable time“ in order to restart its economic evaluations of the country.

”We remain hopeful that we will continue to move forward. We have been in touch with Argentine officials and we hope that within a reasonable timeframe we can come to an agreement on the planning of a new article IV,“ Lipsky explained while speaking at a press conference.

”Article IV“ refers to the process of evaluation of any IMF member's account in order to contribute to its international financial stability. It's a ”mutual vigilance“ that all member states agree to when joining the Fund.

Argentina stopped accepting the IMF annual revisions in 2006 after paying its 9.5 billion US dollars debt with the fund.

”There are still some technical issues that need to be resolved before coming to an agreement,” Lipsky explained while seating next to the IMF's managing director Dominique Strauss-Kahn.