Argentina: Second Review under the Stand-By Arrangement; Financing Assurances Review; and Request for Modification of Performance Criterion-Press Release; and Staff Report
IMF Staff Country Reports, December 19, 2018
Source details
- Canonical URL
- Argentina: Second Review under the Stand-By Arrangement; Financing Assurances Review; and Request for Modification of Performance Criterion-Press Release; and Staff Report
Other formats
Bibliographic details
- Published: December 19, 2018
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781484391594.002
Summary findings
- The redesigned IMF-supported economic reform program is bearing early results.
- Financial markets have stabilized since end-September, following the adoption of the new monetary policy framework.
- After the appreciation of the currency in October, the peso has floated within the non-intervention zone.
- Short-term interest rates have fallen back to their end-September level.
- The passage of the 2019 Budget with broad political support has helped solidify confidence in the authorities’ stabilization plan.
- As a result, demand for Argentine bonds has strengthened and sovereign risk premia have narrowed.
Monetary policy and financial markets
- Adoption of a new monetary policy framework contributed to stabilization since end-September.
- Peso appreciation in October was followed by floating within the non-intervention zone.
- Short-term interest rates returned to their end-September level.
Fiscal policy and political context
- The passage of the 2019 Budget with broad political support reinforced confidence in the authorities’ stabilization plan.
Subject areas and keywords (as listed)
- Subjects: Economic sectors, Fiscal policy, Fiscal stance, Inflation, Monetary base, Money, Prices, Public debt, Public sector
- Keywords: anchor inflation expectation, Base money, CPI basket, CR, end-December monetary base target, executive board discussion, Fiscal stance, Global, Inflation, ISCR, LELIQ rate, Monetary base, Public sector, wage inflation index
Publication metadata and identifiers
- Publication date: December 19, 2018
- Pages: 78
- Volume: 2018
- Issue: 374
- Series: Country Report No. 2018/374
- DOI: https://doi.org/10.5089/9781484391594.002
- Stock No: 1ARGEA2018005
- ISBN: 9781484391594
- ISSN: 1934-7685
International Monetary Fund. "Argentina: Second Review under the Stand-By Arrangement; Financing Assurances Review; and Request for Modification of Performance Criterion-Press Release; and Staff Report", December 19, 2018.
Content in this bundle
- Country Report