04/08/2021 15:20
Clarín.com
Economy
Updated 04/08/2021 3:20 PM
The
Argentine government's negotiations
with the International Monetary Fund for the restructuring of the
mega loan of US $ 45,000 million
that the organization made to the country in 2018 seem to follow different strategies.
While the Casa Rosada expressed a slightly more intransigent position last month, the Minister of Economy, Martín Guzmán, seeks to bring positions closer to reaching an agreement.
Now, an IMF official affirmed that the organization perceives that tension: "It seems that there
are significant differences of opinion within the political alliance
of President Fernández about the direction they should take, both with regard to politics and negotiations with the Fund, ”said Alejandro Werner, the agency's chief for the Western Hemisphere.
Werner acknowledged that
the conclusion is taking longer than expected
to be reached and referred to the debt swap that the country carried out last September as a process that
still generates uncertainty.
In a virtual conference organized by S&P, he affirmed that Werner affirmed that although the
relationship with the government "is constructive
", the negotiations "have taken longer" than expected.
“We are working to be ready
when the Government wants to finish it
and accelerate it.
I think we
are in a position to do it
, but it is true that the negotiations have taken longer than perhaps we thought ... to be ready in the first half of this year, "he said, adding:" There is an interpretation on our part of that
perhaps the Government
feels that (it will be) much better to
undertake this political negotiation after the elections and not before
”, the official acknowledged.
Regarding the market's interpretation of the strength of the debt that the country restructured in 2020, reflected in the depressed prices of Argentine bonds, which are already trading around US $ 30 cents,
Werner said: "There is still a lot of uncertainty
about the path of Argentina's economic policy to make the country's debt sustainable "and explained:" There are always at least two legs in any restructuring. One is how the terms of the debt contracts
are changed
, the other is
how
the terms of the debt contracts
are changed. policies so that the new debt is sustainable
. And I think that in this second stage is where we have a lot of uncertainty "
Werner's statements came almost at the same time that the Minister of Economy,
Martín Guzmán,
spoke at the
Plenary meeting of the IMF Committee
, where he called for the
reallocation of SDRs
and
suspension of surcharges
for middle-income countries.
"Argentina strongly supports the new general allocation of SDRs in the amount of
US $ 650,000 million.
This will help to provide developing
countries with the liquidity they so badly need
," Guzmán said, noting: "A
suspension
of interest rate
surcharges
in IMF loan programs it
would help countries in difficulty
. "
At that point, Guzmán referred to the successful swap he spearheaded last year and said: "
Argentina restructured its debt despite the 2020 crisis
. At the beginning of the negotiations, we requested technical assistance from the IMF and the analysis carried out contributed to a process orderly and better anchored sovereign debt restructuring process. After a few months, we were able to reach an agreement and
there will be no litigation in the future,
"said the Minister.
Guzmán
resumed the request that the G24 countries
made at the beginning of the week to review the policy of surcharges for debt interest, something that affects developing nations.
"It is very important to have a
review of the IMF's Access Limits and Surcharges Policy.
Today, it penalizes countries in the most adverse circumstances, is regressive and pro-cyclical," he said, adding: "This policy should be reviewed and, meanwhile, a suspension of surcharges would help countries in difficulty, "he said.
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