Former minister and ex-presidential hopeful Roberto Lavagna warned that the Argentine economy is going through “the worst scenario possible” since the market has already adapted to the devaluation of the Peso, but the government of President Cristina Fernandez in its fantasy refuses to acknowledge it.
An Argentine appeals court threw out the fines that Domestic Trade Secretary Guillermo Moreno had slapped on private firms that issued inflation estimates that were much higher than the government’s official rate.
Economy Minister Hernán Lorenzino announced on Thursday Argentina will be making payments for more than 3.5 billion dollars in GDP-linked bonds, at the Economy Ministry.
Lorenzino presented the payment as a triumph against the hedge-funds.
Former Economy minister Roberto Lavagna said that it will take Argentina “at least three years” to liberate the country from the ‘dollar clamp’ if as of this month it was decided to execute a policy to end restrictions on the purchase of foreign currency.
For the first time since 2002 Argentina is forecasted to end the tourism year with a negative balance totalling 2.3 billion dollars compared to a positive one of 304 million dollars in 2011, according to consultants Ecolatina.
Switzerland’s government rejected a law suit filed by US hedge funds asking to set an embargo on Argentina's assets deposited in Switzerland based Bank for International Settlements as they claim the payment of a 1 billion dollars debt.
Argentine former Economy Minister Roberto Lavagna considered the “economic model” led by President Cristina Fernandez administration is entering “a clear downfall” and slammed Kirchnerite politicians, unionists and businessmen “for, out of fear, clapping at political rallies instead of saying what they really believe about the economy”.
Argentine Radical party chairman Mario Barletta said on Sunday that “he is really convinced” that the government of President Cristina Fernandez will advance with a constitutional reform bill and highlighted the petition campaign that the party is carrying out in order to express its discontent.
The stagnation of the Argentine economy at the end of the first half of the year is “palpable” and so is tension in the money exchange market because of the restrictions on the purchase of US dollars imposed by the government of President Cristina Fernandez, according to a report from economic advisors Ecolatina from Buenos Aires.
In an extensive report, the Task Force Argentina (TFA)—which represents Italians holding some 4.5 billion US dollars in defaulted Argentine sovereign bonds—gave an ambiguous declaration over Argentina's debt-swap plan.