Economy Minister Luis Caputo says Argentina’s talks with the International Monetary Fund over a new financing programme are entering the final phases.
In a television interview, Caputo ruled out a future devaluation of the peso, highlighted the government’s progress on slowing inflation and played down the impact of the so-called ‘cryptogate’ scandal that has put President Javier Milei’s government on the back foot.
“We’re onto the final points, negotiating the amount and the terms on which we agree,” the minister said in an interview with the A24 news channel.
He said discussions are now focusing on fresh funds and the size of the agreement, which will include a new exchange rate framework.
Argentina’s government is negotiating a new agreement with the IMF to replace its existing US$44.5-billion credit-line, granted in 2018 under former president Mauricio Macri’s 2015-2019 administration.
It is also seeking an additional US$11 billion in fresh funding, which Milei says would allow the nation to eradicate the so-called ‘cepo,’ strict currency controls that limit access to foreign currency.
Earlier this month, Milei set a 2026 deadline for their removal, adding that new cash from the IMF could speed up the process.
Despite speculation, Caputo has repeatedly said that a new IMF agreement would not imply a devaluation of the peso, which experts consider to be overvalued, or an immediate exit from capital controls.
Asked Monday if the IMF had explicitly requested a devaluation of the peso to around 1,400 per US dollar, Caputo responded: “They never asked for anything like that.”
Asked if fresh funds from the IMF could be used to intervene in the foreign exchange market, Caputo suggested they would be part of a broader plan: “It’s money within a scheme that we will announce in due course. What we have agreed upon will be part of that scheme. It is very well structured — excellently structured.”
Caputo’s interview followed an announcement by the government that Argentina had recorded a new primary and financial surplus, thanks to revenue exceeding spending levels.
The IMF is “pleasantly surprised by everything we’ve done,” the minister boasted. “It’s the first time they’ve come across a country presenting stricter targets than those they themselves demanded — and on top of that, we’ve exceeded them.”
Argentina’s new agreement will have the support of the IMF’s board and its managing director, Kristalina Georgieva, he added.
“The support is total, and now we just need to agree on the final amount and get it through Congress,” Caputo assured.
He ruled out bypassing Congress, an option that had been considered within the Economy Ministry and hinted at previously by President Milei.
– TIMES/NA/PERFIL
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