Former Economy Minister Domingo Cavallo assured that Argentina’s current problems are much more serious, than back in 2001 since nowadays “people are desperate because they want to preserve the value of their savings and the Government does not allow them to do so”.
President Cristina Fernández blasted those sectors that demand a cheaper Peso (and stronger US dollar) and defended the exchange rate and imports' controls saying they are vital for the industrialization process of Argentina.
Argentine President Cristina Fernández said on Tuesday that there has always been “clashes and discussions” between companies and their workers but called on both parties to be “rational enough since they need each other in order to avoid collapsing, something we all experienced during the 2002 crisis.”
The Uruguayan government said on Monday there will be no public statements on the latest “situations” with Argentina, and Uruguay will keep to what was agreed at presidential level during the last (31 July) Mercosur extraordinary meeting in Brasilia.
After attending the Mercosur extraordinary meeting in Brasilia, President Cristina Fernández and her Venezuelan counterpart, Hugo Chávez, signed a cooperation agreement to develop a strategic energy plan between state oil companies YPF and PDVSA.
Mercosur full members Argentina, Brazil and Uruguay are insisting with their decision to sanction the Paraguayan government following the impeachment and removal of former president Fernando Lugo
Argentina's Peso sank in informal trade on Tuesday due to intense demand for US dollars from anxious savers and holidaymakers dodging the government clamp on international currency purchases.
The US dollar in Argentina soared on Monday and was trading in the “blue” or parallel market at 6.31 Pesos considerable higher than last Friday. The official rate climbed a modest half cent to 4.53 and 4.575 Pesos.
Argentina’s CGT Central Labour Confederation leader Hugo Moyano, who on Thursday was re-elected for a third period during the umbrella organization’s congress warned that “we will have to rethink our vote in 2013 if the Government (of President Cristina Fernandez) does not give an answer to our claims.”
The Argentine powerful organized labour unions, CGT is heading for a fracture from the moment two different congresses have been convened at different dates, one of them supportive of President Cristina Fernandez’ administration and the other entirely in the opposition.