The International Monetary Fund (IMF) has given a new agreement to a new agreement with the Argentine government, headed by Javier Milei. This pact reaches the sum of 20,000 million dollars and is framed within the Expanded Fund Service (SAF) for the next 48 months. However, the conditions imposed and the measures contemplated only deepen the economic and social crisis that plagues the country.
The initial disbursement of 12,000 million dollars, with a review scheduled in June of this year, is accompanied by a series of provisions that cannot be overlooked. Among them, the devaluation of the Argentine peso stands out, which establishes a scheme of exchange bands between $ 1,000 and $ 1,400 per dollar. This adjustment will change drastically the economic panorama, since it will imply a significant increase in prices, giving a leap to inflation that has already accelerated in the month of March.
In addition, exchange restrictions will be eliminated, the deadlines for foreign trade operations. While these measures are presented as necessary to “strengthen competitiveness”, in reality, they are designed to favor large exporters and the concentrated sectors of the economy, while workers see how their purchasing power is diluted day after day.
As part of the new measures, Milei promised to make a fiscal adjustment that increases the 1.6%primary surplus. In simple terms, this means cuts in essential areas such as health, education and public services, directly hitting the most vulnerable sectors of society. Austerity policies imposed by the IMF are not new and have proven ineffective, causing more poverty and inequality.
A debt that perpetuates the agency
The approval of this agreement is another sample of how the IMF uses external debt as an instrument to submit to the country. Far from seeking structural solutions, this strategy perpetuates the transfer of resources from working majorities to international financial capital. The statements of the IMF managing director, Kristalina Georgieva, highlighting the “initial advances of the government’s economic program” are nothing more than empty speeches that ignore the reality of the great majorities.
The Fund’s statement emphasizes that “efforts will focus on strengthening the flexibility of the labor and products market, and gradually opening the economy” and also in “improving the efficiency of the State and its regulatory predictability.” If they were clear, they would say that the objective is to remove rights and worsen the conditions of employment of workers, deepen Argentina’s agency to imperialist countries and continue cutting the State’s budget to the detriment of public education and health.
Some of the things that the IMF demands with the agreement in the statement (in addition to the devaluation and the exchange that the government already announced):
-Reforma in retirement
-More work flexibility (less rights)
-More the opening of the economy
And axis in export of energy and mining pic.twitter.com/5hcs1sFmTT– is Calcagno (@jei_mc) April 12, 2025
These 20,000 million dollars do not represent a solution, but an aggravating person for the situation of the country. History has shown that each new agreement with the IMF chains Argentina to an economic model of dependence and exploitation. This plan, presented as a lifeguard, is nothing more than a trap to ensure that large corporations and speculators continue to enrich themselves at the expense of popular suffering.
Organization and mobilization against adjustment
From the left front they denounce that this new program is nothing more than a continuation of the adjustment policies that have systematically failed. The measures proposed by the IMF and that the Milei government is willing to implement involve a brutal blow for workers and great popular majorities.
The only way to face these policies is through organization and mobilization. The national unemployment of April 10 was a overwhelming show that there is active resistance and willing to fight. It is crucial to continue these actions, building an alternative program that prioritizes the needs of workers and not the interests of the IMF and large companies.
It is essential to fight for the sovereign ignorance of illegitimate debt, the nationalization of banking and foreign trade under workers’ control, and the implementation of an economic plan at the service of the majorities.
Source: www.laizquierdadiario.com
