Press Release No. 18/301

Statement by the IMF’s Managing Director on Argentina

July 21, 2018

Ms. Christine Lagarde, Managing Director of the International Monetary Fund, met with Argentina’s President Mauricio Macri, Finance Minister Nicolas Dujovne and Central Bank Governor Luis Caputo in the context of the Group of 20 Finance Ministers and Central Bank Governors meeting in Buenos Aires. Ms. Lagarde issued the following statement today: 

“I had the pleasure to meet President Mauricio Macri, Finance Minister Nicolas Dujovne and Central Bank Governor Luis Caputo yesterday and today. The meetings were an opportunity to discuss recent economic developments in the world and in Argentina and take stock of the authorities’ economic reform plans. 

“The Argentine authorities are implementing a decisive reform plan that has the support of the international community and is backed by the IMF, through a Stand-By Arrangement. This plan aims to strengthen Argentina’s economy and bolster confidence by addressing long standing vulnerabilities, protect the most vulnerable, improve gender equity and lay the foundation for inclusive and sustainable growth going forward. 

“The government has shown strong commitment to implement their plan so far. The Central Bank of Argentina has put in place measures that helped reduce financial volatility and improve transparency, progress is ongoing regarding the fiscal measures for next year and social spending remains above the targets set by the authorities. 

“These and other measures will help economic performance going forward. We expect growth to stabilize in the last quarter of 2018 and see a gradual recovery in 2019 and 2020, as confidence grows and the cost of capital falls, along with inflation, while exports pick up.  

 “Steadfast implementation of the authorities’ plan will stabilize the economy, help lower inflation, improve confidence and lay the foundation for sustainable and inclusive growth.”