Argentina Secures Imf Funding Deal

Argentina Secures Imf Funding Deal by Andrew Blumer last updated on January 13, 2024

Argentina Secures An Imf Funding Deal Worth $4.7 Billion

Argentina is facing severe inflation and debt problems, which have forced it to seek external financing. As per the details, Argentina finally signed an agreement with the IMF.

The agreement will allow the country to access $4.7 billion worth of funds from the IMF. According to the IMF, the program is aimed at achieving stability on a macroeconomic level. In addition, this will allow also Argentina to get its IMF program back in action once again.

Annual Inflation Above 200%

Several reports say that the annual inflation in Argentina is expected to cross 200%. What's more troubling is Argentina's foreign reserves, which are reportedly negative already.

It appears that the only way for Argentina to get out of this sticky situation was to get back into its IMF deal once again. After the devaluation of the currency & and several other measures, the country finally got an IMF program once again.

Under the new government, Argentina's officials have been in talks with the relevant officials from the IMF. The government is trying its best to access funds for debt repayment. In addition, Argentina also wants to open the doors to its 7th program review with the IMF.

It is also important to note that the program still needs to be approved by the executive board of the International Monetary Fund (IMF). As for the timing of the approval, the IMF said it could be completed in the next few weeks.

After the announcement, the relevant minister of Argentina said the agreement would allow the country to secure more funding. At the same time, it will also enable the country to get yet another debt program from the IMF.

What's more troubling is that Argentina needs to make significant changes to get out of unusually high debt and inflation.