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On Tuesday, the IMF Western Hemisphere Director said that the objectives of Argentina's 44 billion dollars debt remain with no changes.
According to Ilan Goldfajn, IMF Western Hemisphere Director, the targets in Argentina’s recently minted 44 billion dollars debt agreement with the International Monetary Fund will not present any changes. The IMF top official said Tuesday that some assumptions on the project would be reviewed.
Goldfajn has said that while Argentina's government focal point is intended to fulfill the plan approved last month, the fiscal and monetary objectives of the loan will remain unchanged, representing the benchmarks to assess whether the deal is fulfilled. Among these targets are to reach a steady budget by 2025.
During a briefing, the IMF Western Hemisphere Director said that “the name of the game now is implementation.” In May, Argentine officials will hold a session with the IMF staff intended to make a review of the program.
The program's evolution to date will be evaluated, and how the global price shock from Russia’s invasion of Ukraine has influenced the process. During the summit to be held, previously scheduled for June, the annual inflation estimate of between 38 to 48 percent this year and some other parts of the agreement could be modified, according to Goldfajn.
The agreement between the IMF and the Argentine government was approved shortly after the beginning of the Russia-Ukraine military conflict, without considering how it would affect the energy and food sectors.
By March, Argentina’s inflation had accelerated its records of monthly pace in comparison with the previous 20 years, resulting in the increase of the annual forecast for price gains to over 60 percent by the end of 2022, according to the economists.
“The assumptions could change because of the new macro framework that comes from the global economy, new shocks,” said Goldfajn. “Inflation is one of the assumptions.”