translated from Spanish: The dollar closed the week in low: what Dujovne said about the exchange rate

The Minister of Finance, Nicolás Dujovne, on Friday rejected the possibility of a delay in foreign exchange and argued that “there is a stronger weight because there is more confidence and the economy recovers.” During a press conference in which he announced a primary surplus of public accounts, the minister considered that it is “a mistake of some economists to call downward exchange rate back from the most depreciated point of the series.”
“Trying to sustain that undervalued exchange rate would generate more inflation and more poverty. A delicate balance must be struck,” he said.

What’s here is a process of rebuilding confidence because of the surplus, and because the economy recovers,” he said. This Friday, the dollar for sale to the public dropped 0.13% and closed at an average of $42,849 ($42.60 at the Nation Bank), and in the week it fell 0.59%.

The warnings of some economists were joined by the questioning of opposition references. The presidential candidate of the Frente de Todos, Alberto Fernández, had indicated that Argentina currently has a dollar “totally undervalued because the Central Bank continues to sell foreign exchange”. For his part, the presidential candidate for Federal Consensus, Roberto Lavagna, had alerted about an “artificial dollar”, the consequences of which must be addressed by the next Government.In addition to rejecting those considerations, Dujovne stressed that there is a slowdown in inflation and forecast that it will continue with a “downward path.” While clarifying that official INDEC data should be expected, he said: “What we see is a clear trend towards the slowdown in inflation.” In this note:

Original source in Spanish