Javier Milei, a right-wing populist candidate for Argentina’s presidency, has reassured the International Monetary Fund (IMF) about the country’s ability to meet its debt obligations if he is elected. In a virtual meeting lasting over an hour, Milei and his economic team discussed Argentina’s financial situation with IMF officials on Friday.
During the meeting, Milei emphasized his commitment to continue making payments to the IMF and affirmed that Argentina would not default on its sovereign debts. The candidate presented a series of economic proposals, including a significant fiscal adjustment, opening up the economy, modernizing labor laws, slashing spending through state reforms, and ending the Central Bank.
Argentina currently has a $44 billion loan program with the IMF, making it crucial for the country to maintain a stable financial position. Milei’s assurance to the IMF reflects his determination to address the economic challenges that Argentina faces.
Milei has gained popularity through his criticism of the “political caste” on television and emerged as the leading candidate in the national primaries. However, experts believe that Milei’s support is driven more by disenchantment with politics as a whole rather than strict ideological alignment.
In addition to meeting with Milei, the IMF also had discussions with Patricia Bullrich, the presidential candidate for the main opposition coalition, earlier in the week. As the October elections approach, the race will intensify between Milei, Bullrich, and Minister of Economy Sergio Massa.
Following Milei’s victory in the primaries, the government devalued the peso and increased interest rates, leading to market uncertainty and inflation. The economic consequences of the election have created a challenging environment for Argentina’s financial stability.
Milei’s meeting with the IMF demonstrates his efforts to reassure international organizations and investors about Argentina’s ability to meet its financial commitments. As the election draws near, it remains to be seen how these economic proposals and the candidates’ strategies will shape the future of Argentina.
