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Montevideo, May 23rd 2024 - 10:04 UTC



IMF: Negotiations with Argentina continue; “no letter from China urging IMF to a quick solution”

Friday, July 14th 2023 - 10:50 UTC
Full article 7 comments
Kozack, “Our team has been working intensively with the Argentine authorities to make progress toward the completion of the fifth review.” Kozack, “Our team has been working intensively with the Argentine authorities to make progress toward the completion of the fifth review.”

Julie Kozack, Director of the IMF Communication Department held her weekly media conference and made some announcements referred to the current IMF/|Argentine negotiations. Ms. Kozack revealed that IMF/Argentina negotiations are ongoing, did not advance more details on possible closing dates and denied the existence of a letter from Chinese officials urging a quick solution to the Argentine case. Such as information was leaked in Argentina by government sources. Finally Ms Kozack anticipated that IMF officials and staff will be on holidays beginning July 31st until 11 August.

Ms Kozack, “Thank you so much for all of your questions. In terms of the update, where are we in Argentina? The teams have been working intensively. Our team has been working intensively with the Argentine authorities to make progress toward the completion of the fifth review. And to help the authorities address a very complex and challenging situation.

”As I have noted before, the focus of these discussions has been on alternatives to strengthen the authorities' program, while recognizing the act of the drought on the economy. And this includes discussions on policies to safeguard stability, by enhancing reserve accumulation and improving fiscal sustainability, while of course protecting the most vulnerable parts of the population.

“In terms of the details of those of the discussions, because the teams are still in discussion, I will not pre-empt those discussions and I will not get into the details other than to say that the discussions are frequent, and they are aimed at advancing the program. And we will communicate more on the details of the program when we have them.

”With respect to a couple of the other questions on the letter (from Chines officials), us under understanding is that there is no such letter.

“With respect to the payments in RMB, our general practice is not to comment on the specific transactions of a member country. As we have stated in the past, the Argentine authorities continue to remain current on their financial obligations to the IMF. The RMB is one of the five freely usable currencies that members can and have used to settle their obligations with the IMF”.

Tags: IMF, Julie Kozack.

Top Comments

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  • Chicureo

    It's truly sad that Argentines have allowed this neverending disaster to continue.

    Using the Chinese as loansharks is stupidity.

    Jul 14th, 2023 - 05:17 pm +1
  • Pugol-H

    Difficult to see any way out of this for Argentina.

    None of the usual Argy posters around to explain how this is not a disaster, or is due to the machinations of the CIA and/or Cipayos.

    Or even that the Peronistas have the answers and can solve it all at a stroke, whilst simultaneously recovering the S. Atlantic as well.

    If they get several years of good harvests with favourable world prices, stop printing money and boost production of things like Lithium, there could be a way out, if the money isn’t squandered or siphoned off shore.

    Otherwise the scale of spending cuts and tax rises required to just reduce the borrowing requirement, doesn’t bare thinking about.

    Whatever they do or don’t do, they need to stop printing money.

    Jul 15th, 2023 - 01:41 pm +1
  • Little J

    Basically a lot of “smoke clouds”. Argentina is totally and absolutely broke and haven't a chance in hell of paying off this debt, unless use the “friendly loan” granted by the Chinese which of course commands an interest rate of 8%annum against 4% charged by the IMF.
    Meantime CFK and her thugs are trying to make everybody responsible, bar themselves of course, of the total and supreme chaos that reigns supreme.......basically as a result of all of their own ineptitude.
    As a perfect example persons well known to me won a lawsuit against the State Pension Fund - ANSES - around November 2.019, give or take a month or two - due to “errors” in the liquidation of same. At the time around u$s7.000. Now with luck if ever collected, despite the Supreme Court having demanded that they settle forthwith to no avail, the amount eventually collected may be around u$s800/1.000 due to the constant devaluation of the Arg$Peso and the very reduced upgrading of the original figure agreed and accepted at the time of the completion of the trial. Provided of course that there are no further important devaluations, in which case the could well end up owing the ANSES!!!!.

    Jul 14th, 2023 - 04:42 pm 0
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