Argentina Enacts Urgent Decree for IMF Loan Conditions
Argentina has incorporated IMF loan conditions into a decree, which will be presented to Congress for approval. The loan falls under an Extended Fund Facility program designed to bolster international reserves, allowing the Central Bank to manage treasury bills effectively.
On Tuesday, officials from the Argentine government announced the incorporation of the conditions of its proposed loan agreement with the International Monetary Fund (IMF) into a Necessity and Urgency Decree. This decree was published in the Government Gazette and is set to be presented to the National Congress for approval.
The loan is part of the Extended Fund Facility (EFF) program, which allows for a repayment period of ten years, including an additional four years and six months for interest payments. Although the exact amount of the loan is not disclosed, the Argentine government aims to bolster international reserves.
To achieve this, the decree empowers the Central Bank of the Argentine Republic (BCRA) to settle its obligations connected to treasury bills. Furthermore, it emphasizes the urgent need to rectify the state of international reserves by eliminating non-transferable government bonds.
In summary, Argentina’s government has initiated a decree to integrate IMF loan conditions, aiming to strengthen its international reserves through the Extended Fund Facility program. The decree is pending congressional approval and focuses on enhancing the Central Bank’s capability to manage treasury obligations and rectify the reserve situation.
Original Source: menafn.com
