At the moment, the share of countries does not reflect what it should be. The demand from many countries such as the G24 countries last week, or the analysis in the G20 on additional fees, has been marked by previous negotiations. Speaking to NA, Torres said:It is difficult to achieve a rate cut as long as the risk of Argentina defaulting to the IMF is not eliminated.”
The recent G20 statement on the matter, which the government interpreted as an achievement, noted: “We thank the IMF for updating the additional fee policy and look forward to a broader discussion in the Governing Council in the context of the interim review of prudential balances.” . The former director of Argentina, a lawyer by profession, explained that “prudential balances” are intended to protect the international body from “potential losses of income or recovery of capital”, which is exactly the situation in Argentina.
On the other hand, Torres, who has been in contact from Geneva, stated that Kristalina Georgieva’s position at the head of the International Monetary Fund has been damaged, after she was accused of influencing China in placing indicators when she was world director. Bank.
Georgieva has lost relative strength. Her ability to use political criteria to ‘soften’ staff technical conclusions has diminished. In turn, the statement of United States Secretary of the Treasury, Janet Yellen, allows her to survive, but is far from providing support. To remain in office, He has to show comical loyalty to the Treasury.”, pointed out.
In the aforementioned statement, a Joe Biden official said that there was no evidence to justify his removal from office, which does not necessarily mean his innocence is recognized.
Despite everything, the former director before the International Monetary Fund considered that the organization could accept a gradual program for resolving the Argentine situation. “The IMF staff will certainly want to narrow the ‘gap’ between the official exchange rate and the multiple unofficial changes, but I think they recognize that the process of removing stocks will be gradual,” he said.
Torres served as Executive Director at the International Monetary Fund between 2004 and 2008, the years in which President Nestor Kirchner paid off $9,810 million in debt in cash. He also represented Brazil between 2013 and 2015, and returned to Argentina in 2016-2017 for the standby agreement negotiated by Mauricio Macri.