the Vice Minister of Economy will meet with the IMF to close a new review
The Vice Minister of Economy, Gabriel Rubinstein, and the chief adviser. Leonardo Madcur, traveled to the United States this Monday with the purpose of closing the fourth quarterly review of the Extended Facilities Agreement with the International Monetary Fund (IMF), which will enable a new disbursement of US$5.4 billion by the multilateral credit organization.
The Government celebrated that in 2022 it exceeded the goal of 2.5% agreed with the IMF for the primary fiscal deficit and it was 2.4% of GDP, so it is assumed that the Fund will approve the numbers in this review. Massa, with the support of all the members of the Frente de Todos, advanced with a greater adjustment. The pruning was done in the most vulnerable sectors such as Retirement and Contributive Pensions and Universal Assignment for social protection. This year’s Budget also contemplates cuts in Housing, Promotion and Social Assistance, and Retirement and pensions.
This year the planned goal of the fiscal deficit is 1.9% of GDP, that is, a greater adjustment than in 2022. The Ministry of Economy warns that the drought in the countryside will affect income and calculates that it will contribute about US$ 10,000 million less income from exports. In January, agro-export companies settled sales abroad for US$ 928.3 million, which represented a 61% lower turnover than the same month of 2022, and 75% less than in December of last year, reported the Chamber of Industry. Aceitera de la República Argentina (CIARA) and the Cereal Exporters Center (CEC). Agrarian employers are also waiting for a new version of the soybean dollar, another prize that will further improve their income.
The Peronist officials themselves cannot fail to recognize that the adjustment in the budget is a condition to be able to comply with the IMF. In other words, the commitment to fraud to the reduction of the “social debt” is privileged, translated today into poverty of more than 40% and sustained inflation that devalues the purchasing power of working families without restraint.
The Government of the Frente de Todos denounced the macrista indebtedness, but decided to honor said scam. Paying the debt with the Fund is necessarily at the cost of the people’s hunger, it is necessary to reject the agreement and mobilize for the sovereign ignorance of the debt.