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Alberto Fernandez renounces to IMF loan: “I want to stop asking for money”

Wednesday, November 27th 2019 - 09:55 UTC
Full article 2 comments
”What I want is to stop asking (for money), and that they let me pay,” said Fernandez, who takes office on December 10 ”What I want is to stop asking (for money), and that they let me pay,” said Fernandez, who takes office on December 10

Argentina's president-elect Alberto Fernandez said on Tuesday he would renounce the remaining US$11 billion tranches of the country's International Monetary Fund loan as soon as he takes office next month.

Outgoing centre-right President Mauricio Macri agreed a massive US$57 billion loan loan package last year, but the austerity measures he imposed failed to right the economy.

”What I want is to stop asking (for money), and that they let me pay,“ said Fernandez, who takes office on December 10 after ousting Macri in last month's elections.

”I have an enormous problem. And I'm going to ask for US$11 billion more?“ the incoming president said in an interview Argentina's Radio Con Vos.

Fernandez said he will ”try to revive the economy in order to pay and solve the debt problem sensibly.“

The return to power of protectionist Peronists has raised fears of yet another debt default, and eroded the peso's value.

The poverty rate has risen to more than 35%, inflation for the year to September was at almost 38%, while the peso has depreciated 70% since January 2018.

The president-elect has insisted his government would not default but rather seek to renegotiate the terms of the IMF loan, and sought to reassure voters in last month's election that their bank deposits would be safe under his administration.

”It's like a guy who drinks a lot and is a little drunk. The solution is not to continue drinking. The solution is to stop drinking,“ he told the radio.

Debt soared by about US$100 billion under Macri and now exceeds 90% of GDP. At the time of his election in 2017, it was 38% of GDP.

”I try to be a serious person. A person who tells you 'I'm going to do such and such a thing,' and you know he's going to do it.

“I don't want to sign agreements that I'm not going to fulfill. Those agreements were already signed by Macri. He signed one, two, three and fulfilled none,” said Fernandez.

The IMF suspended the release of a US$5.4 billion disbursement in September following the government's failure to meet inflation targets.

“We want them not to lend us more money, but to let us develop. Let's discuss the time I need to develop, but don't give me more money.”

Top Comments

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  • golfcronie

    how on earth is he going to ” revive the economy, when the lazy sods only want to collect their pay and sod the work.

    Nov 29th, 2019 - 07:07 pm +1
  • Enrique Massot

    “We want them not to lend us more money,“ Alberto Fernandez said. ”But to let us develop.”

    So refreshing to hear an incoming president talking about developing Argentina's own potential as opposed to ask foreigners to bring their money to do it. (Something that has historically been a total failure).

    Actually, it is encouraging to hear Alberto Fernandez talking and making sense, after four years of listening to the hollow chatter and frivolities blurted by...finally outgoing president Mauricio Macri.

    Ten more days for Argentina to start becoming a country that cares for its citizens.

    Dec 01st, 2019 - 06:37 am -1
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