Alberto Fernandez leaves for Europe in search of a delay in his right to Paris Club

Fernandez He will travel with Foreign Minister Philip Sola. Economy Minister Martin Guzman; Secretary General of the Presidency of the Republic, Julio Vittobello, Secretary for Strategic Affairs, Gustavo Pelles; Among the members who can contribute to Argentine debt negotiations.

The trip of the Argentine delegation takes place after its entry already Paris Club has a benefit of $ 2,400 Million, which extends until the end of July, to be considered a final default.

Fernandez E. Guzman He will travel to Europe to request a delay of the deadline, at a time when Democratic lawmakers in the United States launched an initiative so that countries severely affected by the outbreak, including Argentina, can be exempted for a period of certain obligations. With the life-long multilateral organizations of this world. Healthy injury.

What is new is that democratic legislators are not limited to the poorest countries, but also include middle-income countries.

The parliamentary initiative called “A Strong Global Response to the Covid-19 Epidemic” states that the US Treasury Department asks the International Monetary Fund to “reduce the financial targets of all programs” agreed upon or agreed upon with “countries.” Those seeking funding “in that multilateral organization while the pandemic continues.

Likewise, Democratic lawmakers are suggesting that US representatives in the International Monetary Fund “are against any credit, guarantee, document, or strategy that could reduce government spending allocated by debtor countries themselves to counter the second wave of Covid-19.”

From you to Rome, Guzmán will participate in an international symposium on debt Where the head of the International Monetary Fund confirmed their presence, Kristalina Georgieva, Nobel Prize winner Joseph Stiglitz and US special climate envoy John Kerry, among others.

The event, called “Dreaming of a Better Restoration”, is organized by the Pontifical Academy of Sciences.

It will be kind of a 2021 version of the International Symposium on the Burden of National Debt held in February last year, in which Pope Francis participated.

There, in Rome, he met Georgieva and Guzmán and began a dialogue that helped Argentina move forward with the debt restructuring with private creditors, which has been sanctioned by the International Monetary Fund.

Meanwhile, the International Monetary Fund confirmed that negotiations with Argentina are continuing constructively, noting that Economy Minister Martin Guzman is currently his “counterpart” in these discussions to reach an agreement to reschedule the US dollar debt. 45,000 million.

The first strong capitalist maturities are only after September, and the government has room to negotiate this debt, even though the Paris Club prefers a deal with the fund to renegotiate its debt.

Here is exactly where The government will try to convince the Paris Club that Argentina is in exceptional condition and needs some air when the signed agreement expires in 2014.

We are very involved in those discussions with Secretary Guzman. A spokesman for the International Monetary Fund, Jerry Rice, it is our counterpart in those discussions, adding: “We are fully committed to it now.”

At the biweekly regional press conference, Rice spoke in this way about the ongoing negotiations between the economic team and technical staff at the International Monetary Fund to reach an agreement to reschedule debt maturities.

“We are working constructively with the Argentine authorities about the possibility of an IMF-supported program to help Argentina overcome the challenges it faces, including the pandemic. That remains our goal, to help Argentina and to help the Argentine people.” A spokesman for the fund explained.

Rice also confirmed that the initiative to waive special drawing rights, the currency of the International Monetary Fund, will be launched next June, which will positively affect the reserves of member states, with a total additional amount of $ 650 billion.

“CEO Kristalina Georgieva will present it to our board of directors next month for approval – again, board approval is a sine qua non, and then it will move to board approval in the coming months. Months,” Rice said.

Rice explained that “Argentina, like other members of the International Monetary Fund, will receive appropriations based on its share in the International Monetary Fund,” and to avoid speculation on the sovereign use of resources.

“We are waiting for approval of the allocation and then we can talk about the uses of the SDRs, of course, which are to a large extent the prerogatives of the concerned member states,” Rice concluded.

Against this background, Argentina will receive a total of $ 4,354 million to increase international reserves.