translated from Spanish: Martín Guzmán: “Negotiation with IMF is going to be very tough”

The nation’s Economy Minister, Martín Guzmán, spoke out moments ago on the direction of debt negotiations with the International Monetary Fund (IMF) stressing that “it will be hard and months long.” The relationship with Kristalina Georgieva and the entire staff has been very good, but this does not take away that this is going to be a very tough, complex negotiation”, departed by highlighting the official in dialogue with Metro radio.In that sense he felt that it will “generate a broad debate that will take time”, because he will “discuss every detail on the basis of prudence and responsibility , and on the goals of generating more work, more exports and a quieter economy.”

“It’s going to take months, it’s possible that an agreement can be reached just early next year,” Guzman said. However, he said he will not accept “anything that goes against Argentina’s development.” Surely there will be interests (of the Fund) that will be manifested in the negotiations. Different types of orders may begin to appear. You never have to rule out that such orders can start to manifest,” he acknowledged. Regarding the agreement concluded by the Exchange administration, Guzman commented that “the program signed by the previous government with the IMF was based on a combo of fiscal and monetary contraction at a time of recession.”
“Credit to the IMF was politically swelled, an explicitly stated support for the previous government, so that it can help win the election”

“All economic and social indicators deteriorated, the lives of millions of people deteriorated. There was a gross devaluation (of the exchange rate) with the consequences it had for inflation and purchasing power, the destruction of businesses and jobs, and the increase in poverty,” he said. Ultimately, he emphasized that the debt to the Fund “is approximately US$45 billion that the previous government took under the expectation that this would generate a shock of confidence and lower the cost at which Argentina was indebted in international financial markets.” Now there is a mountain of maturities between September 2021 and 2024 that we cannot deal with under the conditions that Argentina is (…) it was a credit of political tingling, a support expressed explicitly to the previous government, so that it can help win the elections,” the minister said. 
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Original source in Spanish

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