The Minister of Economy, Martin Guzman, and the head of the Central Bank, Miguel Pesce, will participate in the week of the second meeting of finance ministers and central bank heads of the G20, and of the Spring meetings of the IMF and the World Bank. At these meetings, the Monetary Fund will present the World Economic Outlook (WEO) report. They will be virtual encounters.
In the prelude, and in an interview on the CNN channel in Spanish, the minister announced that if the Government intends to sign an agreement with the organization this year, the IMF cannot be expected to authorize a debt repayment term of more than 10 years. as stipulated in its statutes. “No, it won’t happen”.
In February the minister had said the same: the current negotiation does not seek the IMF to introduce changes in this regard. “The ten years is a question that has to do with the lines of credit that exist in the International Monetary Fund. Changing that requires the support of countries like the United States, China, Germany, Japan, France. A change that they just have to vote for ”. Cristina Kirchner a few weeks ago said that Argentina could not pay the debt within that period. Kirchnerism proposes to repay the debt in a period of 20 years. The IMF does not accept that.
Guzmán did ask his G20 peers that the International Monetary Fund (IMF) review and modify the surcharges that it applies to the credits it grants over the basic interest rate. Argentina currently pays a rate close to 3% for the interest on the loan it received from the IMF in 2018 and is currently seeking to restructure its maturities.
Argentina faces the first strong maturity of 2021 for US $ 2.4 billion at the end of April with the Paris Club, and has 60 days to pay before a default is declared. It is a maturity of 2020 and that, at Guzmán’s request, it was extended for a period of one year, according to the terms of the loan contract.
The Economy Minister’s tour will start on April 12 in Berlin and end on April 16 in Paris, with intermediate stages in Rome and Madrid.
Sources from the Ministry of Economy indicated that Guzmán “plans to hold meetings with the Ministers of Economy and Finance, officials and the private sector”, and that “the issues to be discussed will be the renegotiation with the IMF to reach a new agreement and the debt with the Club from Paris”. From Economy they emphasized that “the objective is to obtain the necessary support of the shareholders of the IMF, especially G7 and G20”.
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source https://pledgetimes.com/imf-guzman-again-rules-out-that-the-payment-of-the-debt-is-as-cristina-claims/
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