{"id":1950237,"date":"2023-06-18T06:52:02","date_gmt":"2023-06-18T10:52:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/analysis-argentina-faces-crunch-imf-talks-to-defuse-looming-debt-bomb\/"},"modified":"2023-06-18T06:56:31","modified_gmt":"2023-06-18T10:56:31","slug":"analysis-argentina-faces-crunch-imf-talks-to-defuse-looming-debt-bomb","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/analysis-argentina-faces-crunch-imf-talks-to-defuse-looming-debt-bomb\/","title":{"rendered":"Argentina must urgently engage in crucial talks with the International Monetary Fund (IMF) to address its impending debt crisis."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">38<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fanalysis-argentina-faces-crunch-imf-talks-to-defuse-looming-debt-bomb%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1950237&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div class=\"entry-content\">\n<p><strong>Argentina and IMF Face $44 Billion Dilemma in Crucial Debt Talks<\/strong><\/p>\n<p>By Walter Bianchi and Rodrigo Campos<\/p>\n<p>BUENOS AIRES\/NEW YORK (Reuters) \u2013 Argentina and the International Monetary Fund (IMF) have a $44 billion dilemma, with the two sides set to meet for crunch talks to revamp the country\u2019s huge, wobbling debt deal, key to avoiding default on billions in looming debt payments.<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-1\" style=\"min-width: 320px; min-height: 50px;  text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-1'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p>The South American country, a serial defaulter that has struggled for years with inflation and currency crises, struck a $57 billion loan deal with the IMF in 2018, which failed and was replaced last year with a new $44 billion program.<\/p>\n<p>But with net foreign currency reserves estimated to be in negative territory, hit by a major drought that sunk the key soy and corn harvests, Argentina is at risk again of missing debt repayments, with $2.7 billion due to the fund this month alone.<\/p>\n<p>Economy Minister Sergio Massa is expected in Washington as early as this week to try to unlock talks to accelerate IMF disbursements and ease economic targets attached to the deal, with investors and traders watching closely.<\/p>\n<p>\u201cThe fund knows that Argentina is a problem, it is its main debtor, but it seems to me that the negotiation has stagnated. One does not see significant progress,\u201d said Ricardo Delgado of Argentine financial services firm Analytica.<\/p>\n<p>In a sign of potential holds-ups, an economy ministry source said on Friday that Massa\u2019s trip, previously briefed to happen in the next few days, could be delayed depending on how virtual talks progressed.<\/p>\n<p>\u201cUntil everything is sealed, no one travels. When everything is ready, they\u2019ll travel to put things on paper. And when everything is written, Massa will travel,\u201d the source said.<\/p>\n<p>On the streets of Buenos Aires pressure is rising. Inflation has hit 114%, hurting salaries and spending power, reserves have tumbled and one-in-four people is in poverty, with many blaming \u2013 not for the first time \u2013 austerity linked to the IMF.<\/p>\n<p>\u201cWe must change these economic policies, we must break with the dependence on the IMF,\u201d said Hugo Godoy, a union leader marching on Friday in Buenos Aires as part of protests against the government\u2019s handling of the economy and austerity.<\/p>\n<p>\u201cSome 43% of Argentines live below the poverty line and 4.5 million, 10% of the population, suffer from hunger,\u201d he said.<\/p>\n<p><strong>\u2018Damage Control\u2019<\/strong><\/p>\n<p>The government is hoping to bring forward over $10 billion in IMF disbursements scheduled for this year, though is reluctant to agree to tough austerity measures with an eye on October general elections where it faces likely defeat.<\/p>\n<p>\u201cInvestors are paying real attention to signs from the IMF negotiations,\u201d said economist Gustavo Ber.<\/p>\n<p>\u201cReceiving fresh funds \u2013 or at least rescheduling disbursements and payments \u2013 would be crucial to reduce exchange and financial tensions at this stage.\u201d<\/p>\n<p>Meanwhile Argentina has been rolling over local debt to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/analysis-argentina-faces-crunch-imf-talks-to-defuse-looming-debt-bomb\/\" title=\"Argentina must urgently engage in crucial talks with the International Monetary Fund (IMF) to address its impending debt crisis.\">push back peso-denominated repayments<\/a>, has extended a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/adb-head-says-fx-intervention-among-tools-for-emerging-asia\/\" title=\"ADB head says FX intervention among tools for emerging Asia\">currency swap line<\/a> with China, and faces a wall of obligations with private foreign creditors next year.<\/p>\n<p>The local debt exchanges and hopes of progress with the IMF have nudged up Argentina\u2019s <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/russia-threatens-to-pay-foreign-debts-in-rubles-in-response-to-sanctions\/\" title=\"Russia Threatens to Pay Foreign Debts in Rubles in Response to Sanctions\">dollar-denominated bonds<\/a> from high-20 cents on the dollar in May to mid-30 cents now, though they remain mired in distressed territory.<\/p>\n<p>And many worry that even sped-up IMF payouts won\u2019t solve Argentina\u2019s problems for long.<\/p>\n<p>\u201cFrontloading disbursements could be a \u2018damage control\u2019 solution until the end of the current government\u2019s term in December,\u201d the Institute of International Finance, a Washington-based banking trade group, said in a report.<\/p>\n<p>Argentina got a hint of good news this week with monthly inflation cooling in May for the first time in half a year and coming in below analyst expectations, though it was still an eye-watering 7.8% for the month.<\/p>\n<p>\u201cInflation continues to be very high and affects the entire economic scenario, but the fact that it has eased somewhat with respect to April helps to remove some pressure,\u201d an Argentine banker said, asking not to be named.<\/p>\n<p>\u201cIt is like the sick patient with a fever that has gone down slightly. But the patient is still sick and still has a fever.\u201d<\/p>\n<\/p>\n<p> (Reporting by Walter Bianchi and Rodrigo Campos; Editing by Adam Jourdan and Daniel Wallis)<\/p>\n<p><a href=\"https:\/\/www.oann.com\/uncategorized\/analysis-argentina-faces-crunch-imf\/attachment\/argentina-faces-crunch-imf-talks-to-defuse-looming-debt-bomb\/\"><\/a><\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>After Bill Gates met with China\u2019s Xi Jinping, Antony Blinken\u2019s meeting comes amid rising tensions and China\u2019s plans to spy on the U.S. from Cuba.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>California proposes taking so-called affirmation of a child\u2019s gender identity into account in child custody disputes. Here\u2019s One America\u2019s Sam Valk with more.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>This week has been filled with major headlines in the US and around the world. One America\u2019s Rachel Acenas has more in our Week in Review.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Guggenheim Baseball Management, which owns the Los Angeles Dodgers, is going ahead with their salute to the Sisters of Perpetual Indulgence. <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>JERUSALEM (Reuters) -U.S. chipmaker Intel Corp will spend $25 billion on a new factory in Israel, Prime Minister Benjamin Netanyahu said on\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>(Reuters) -Meta Platforms said on Friday services on its social media apps Facebook and Instagram were restored, more than two hours after\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>(Reuters) \u2013 Microsoft, which is seeking to buy games giant Activision, faces two legal fights in coming weeks with U.S. antitrust enforcers\u2026 <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>By Angus Berwick and Tom Wilson LONDON (Reuters) \u2013 The U.S. affiliate of crypto giant Binance has carried out a round of\u2026 <\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>Argentina and the IMF face a $44 billion dilemma as they prepare for crucial talks to renegotiate the country&#8217;s massive debt deal. Avoiding default on upcoming debt payments is crucial, making this meeting of utmost importance.<\/p>\n","protected":false},"author":66,"featured_media":1950238,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[4795,10098,6170,13581,5487,16513,4338,22800,5681,5917,14009,3745,27507],"class_list":["post-1950237","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann","tag-address","tag-argentina","tag-crisis","tag-crucial","tag-debt","tag-engage","tag-fund","tag-imf","tag-impending","tag-international","tag-monetary","tag-talks","tag-urgently"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1950237","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/66"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1950237"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1950237\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1950238"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1950237"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1950237"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1950237"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}