The United States "closely follows" the negotiations between Argentina and the International Monetary Fund and the possibility that the agency will advance disbursements for our country in an electoral period, something that Minister Sergio Massa fervently seeks. The government of Joe Biden seeks to "ensure that the Fund is seeing the global context of what is impacting Argentina," especially the drought, and saidthat the decisions made by the technical staff and the executive board on the issue will be evaluated. He admits, however, that the issue of support is "very difficult, especially in an election year."
The 26th conference on Latin America organized by the Andean Development Corporation and the Inter-American Dialogue in Washington was attended by the two most senior officials of the Biden administration for the region: Juan González, the advisor for Latin America of the National Security Council, and Brian Nichols, assistant secretary of state for the region.
During the conference, González was asked by a CNN anchor about how the White House supported the administration's efforts with the IMF. Gonzalez said that "it is very difficult especially in an election year for Argentina, but we are doing the same thing we did when they restructured the debt. Follow very closely the work of the IMF staff and when they reach an agreement, we with the board, with Argentina, with other countries, try to understand that the context in which we are is unique."
He added that "although Argentina is not the best example, I believe that the Fund has to show that we can respond to this type of challenge in this type of context. I think that how (the IMF) behaves based on what is happening in Argentina will give a signal to other countries."
At the end of the meeting, he was asked specificallyif the White House supports the idea that the IMF advance funds to guarantee the stability of the economy during the electoral period.
This idea, according to Economy Ministry sources, is being analyzed in Washington. In the midst of a strong reserve crisis, Massa wants the Fund to advance up to US $ 10,000 million of the disbursements planned this year and at the moment it is the most important issue of the negotiation. The organization has not ruled on the issue, but it is estimated that it is wary of delivering billions to Argentina in the middle of the electoral period.
Regarding the possible advance of disbursements, González responded that "the process of this type of talks is led by the staff of the Fund and if they reach an agreement we will review it in coordination with the members of the board and the Fund. Just as we did last year, there is a great reservoir of will between the U.S. and the Argentine people."
He added that "we want to promote a positive dialogue,we have tried to ensure that the Fund is seeing the global context of what is impacting Argentina, including the drought, but at the end of the day it all starts with an agreement of the staff and that is where I think that type of conversations begin so I cannot give an opinion because it is based on the decision of the Fund. "
Asked by Clarín about China's influence in the region in the context of Massa's current tour in the Asian country, González said that "we have a lot of confidence in our ability to compete with China and the conversations we are having with the countries of Latin America and the Caribbean, including Argentina. It is not asking them to choose but demanding what we demand, which is transparency regarding certain norms that define many of the hemispheric values we have for human rights, the need to consult with civil society."
"In that I think we have had a very receiving audience in the government of Argentina, but also in Uruguay and other countries. They are the ones who are demanding that anyone, the United States, China or other countries follow certain rules of the game in the way of investing," he added.
Another attendee at the conference was Brian Nichols, Assistant Secretary of State for Latin America. Asked if the Biden administration is concerned about Massa's tour and if the relationship between Argentina and China complicates U.S. support in negotiations with the IMF, Nichols said: "Argentina is a sovereign country. Minister Massa has his responsibilities and I am sure he will consider talking to all relevant actors."
He added that "the important thing for us is that we consider Argentina as an important friend and as a partner in many areas. We want to support Argentina and we do so in many ways, and we will continue to support Argentina. We recognize the very difficult economic moment that Argentina is experiencing and we hope that Argentine leaders can find a way forward with the support of the international community."
Washington. Correspondent
