ZCZC
BCN-29
ARGENTINE-ECONOMY-IMF
Argentine president optimistic about economy with new budget, IMF deal
BUENOS AIRES, Sept. 8, 2018 (BSS/Xinhua) – After weeks of market
volatility and depreciation of the Argentine peso against the U.S. dollar,
Argentine President Mauricio Macri said on Friday he was optimistic about the
economy following a new budget and a 50-billion-U.S.-dollar International
Monetary Fund (IMF) agreement.
During a press conference in the western city of Mendoza, Macri said the
tax announced earlier in the week will “generate the necessary resources that
Argentina needs in order to have calm and certainty” in the coming year’s
budget. He also praised the “maturity” Argentinians have shown in facing the
crisis, saying the leaders had “collaborated and acted responsibly and
independently, regardless of their political leanings.”
On Monday, the president had announced new austerity measures, including
large-scale spending cuts and a temporary tax on the export of raw materials,
to eliminate the chronic fiscal deficit.
The budget for next year is expected to go to the Congress for approval in
the coming weeks.
The peso began to appreciate this week after Economy Minister Nicolas
Dujovne began talks with the IMF director in Washington on Tuesday.
Argentina signed a 50-billion-dollar standby deal with the IMF in June and
is now seeking early disbursements of the financial package.
The peso began its climb against the dollar on Wednesday and on Friday
reached the level of 37.6 pesos to 1 dollar from its worst 40 pesos during
the volatility.
BSS/XINHUA/HR/1340