IMF to recommend accelerated disbursement for Argentina
In a news brief dated August 3, IMF Managing Director Horst Köhler announced that IMF management intends to recommend to the Executive Board an accelerated disbursement to Argentina under its Stand-By Arrangement as soon as the current review of the program is complete.
Announcing management’s intention, Köhler said: “An IMF mission currently in Buenos Aires expects to conclude negotiations with the Argentine authorities on this review shortly. Upon conclusion of these talks, management intends to recommend to the Executive Board a disbursement, accelerated into August, of approximately $1.2 billion to Argentina. This would bring Argentina’s total borrowings so far under the Stand-By Arrangement to approximately $7.3 billion, out of a total of approximately $13.4 billion, or close to 500 percent of quota, available under the program.
“Argentina has demonstrated a strong commitment to the convertibility regime and to decisive implementation of the package of measures designed to achieve a zero fiscal deficit that will help greatly to stabilize the macroeconomic situation and strengthen confidence. In view of these resolute efforts, the IMF stands ready to support Argentina,” Köhler said.
The text of News Brief No. 01/71 is available on the IMF’s website (www.imf.org).