Argentina's Bold Economic Move: IMF Disbursement in Focus

Argentina is negotiating a $20 billion loan program with the IMF, requesting a 40% initial disbursement. IMF Managing Director Kristalina Georgieva finds the request reasonable due to Argentina's economic reforms. Negotiations are expected to conclude before the IMF and World Bank meetings in April 2023.

Argentina is intensifying negotiations with the International Monetary Fund (IMF) for a new $20 billion loan program, requesting an initial 40% disbursement. Kristalina Georgieva, IMF's Managing Director, stated that Argentina's request is 'reasonable' considering the country's recent economic reforms.

The ongoing talks are anticipated to be wrapped up before the IMF and World Bank spring meetings scheduled for April 21-26 in Washington. The economic community is closely monitoring these developments, as Argentine Economy Minister Luis Caputo announced the substantial disbursement request on Sunday.

Caputo highlighted that Argentina has eradicated its fiscal deficit, reduced public expenditure, and is working to build central bank reserves while relaxing foreign exchange restrictions. Georgieva mentioned that while negotiations continue, she is optimistic about reaching a four-year program agreement, which requires approval from the IMF's executive board.

(With inputs from agencies.)