Argentina’s government has included IMF loan conditions in a Necessity and Urgency Decree, aiming to stabilize international reserves and manage treasury obligations under the EFF program. This measure is pending approval from the National Congress.
On Tuesday, Argentina’s government announced it has incorporated conditions from a proposed loan agreement with the International Monetary Fund (IMF) into a Necessity and Urgency Decree. This decree, which has been published in the Government Gazette, will be submitted to the National Congress for approval.
The loan agreement in question falls under the Extended Fund Facility (EFF) program. This program allows interest payments to be spread over ten years, with an additional potential extension of four years and six months. The decree does not specify the loan amount but indicates a focus on strengthening Argentina’s international reserves.
Moreover, the decree emphasizes the need for the Central Bank of the Argentine Republic (BCRA) to fulfill its treasury bills obligations to stabilize reserves. It also aims to reverse the current status of international reserves by eliminating non-transferable government bonds, thus enhancing fiscal stability for the country.
Argentina is taking decisive steps to address its financial situation by integrating IMF loan conditions into a government decree. This initiative under the EFF program is designed to bolster international reserves and manage government obligations. The focus on fiscal stability signals a critical move towards economic recovery amid ongoing financial challenges.
Original Source: menafn.com
