President Javier Milei announced that Argentina’s new IMF deal will be finalized by mid-April. The lower house of Congress approved a key decree necessary for the agreement. Although the government has not released details, it has confirmed a grace period on repayments. Speculation suggests the IMF may provide $5 billion to $20 billion in fresh funds.
President Javier Milei of Argentina has indicated that a new agreement with the International Monetary Fund (IMF) will be reached by mid-April. According to a report by Bloomberg Línea, he specifically mentioned the timeframe when asked about the anticipated staff-level agreement with the IMF. This announcement follows significant legislative progress, as Argentina’s lower house of Congress recently endorsed Milei’s emergency executive decree supporting the new IMF deal.
On Wednesday, the Chamber of Deputies approved the decree with a vote of 129 in favor, 108 against, and six abstentions. This legislative endorsement is crucial as it allows the decree to become law, requiring approval from only one chamber of Congress. Although precise details of the new IMF deal have yet to be disclosed, the government has confirmed that Argentina will receive a grace period on repayments extending beyond four years.
Currently, Milei’s economic team has refrained from detailing the specifics of the IMF agreement, offering only mixed signals about its status. Earlier in the month, Economy Minister Luis Caputo suggested that only minor details remained, yet this week, he acknowledged that the amount of new funds to be provided by the IMF had not been finalized. Market speculation indicates that the new agreement could yield disbursements between US$5 billion and US$20 billion for Argentina’s government.
In conclusion, President Javier Milei has reaffirmed that an agreement with the IMF will likely be established by mid-April, following the recent legislative approval of an emergency decree. While the details of the deal remain largely undisclosed, Argentina is poised to receive a significant grace period for loan repayments as it navigates the negotiation process. Economic analysts are optimistic, with expectations of substantial financial support forthcoming from the IMF.
Original Source: batimes.com.ar
