The war between economists for the management of the country’s finances is established. After the harsh statement of Together for Change, released on Monday, in which the opposition accused the government of having left “an armed bomb for the people” and the response of the Deputy Economy Minister, Gabriel Rubinstein, two former officials of the previous Si are joined in the controversy.
Previously, Rubinstein pointed to four opposition economists and said: “What if, in order for the debt not to grow more, we all try, as state policy, to pass a budget with no primary fiscal deficit?”.
Through his Twitter account, the former finance minister and also the former head of the Central, Luis “Toto” Caputo, who had not taken part in the discussion until then, questioned the figures that his colleague provided on Tuesday Rubinstein on “legacy”. that the Fernández administration has received.
“Argentina, being a serial defaulter on its commitments for more than 100 years, does not necessarily borrow in the currency and/or term it wants, as most countries do. It borrows in the term and in the currency” it can,” the former official said.
“It is for this reason that this government is indebted to inflation and the dollar, in the very short term, and at the highest dollar equivalent rates in our history,” warned the economist. In this way Caputo wanted to explain the differences between the debt in dollars during the government of Mauricio Macri and that accumulated by the current administration.
Regarding the strategy of issuing securities linked to the CER or to the evolution of the official exchange rate, Caputo pointed out: “Inflation”, in finance, is considered one more currency, and among other things strongly correlated to the dollar. because the higher demand is due to debt adjusted for inflation and the movement of the official dollar, perceived by the market as a sort of “exchange insurance”
“This false de-dollarization is nothing more than the consequence of having borrowed from inflation, in a context of real appreciation of the official exchange rate”, he assured and observed: “The other side of this is precisely the increase record total stock of debt measured in dollars, because it’s the only thing the market is, with great difficulty, willing to receive for its “limited” pesos, he said.
Subsequently, one of his successors at the Finance Palace, as well as father of the reprofiling of the peso debt in 2019, Hernán Lacunza, also used the bird’s social network to settle the discussion: “May it not explode now, nor the year to come , nor ever. Because the poor suffer. So, no festival of indexed peso bonds, dual (free exchange insurance), bonds paid 2024, bonds to Anses and BCRA (to retirees and pesos), usurious repurchase agreements, impossible to pay since December,” he said.
Lacunza also took the opportunity to “fold” Massa’s current second in a 2021 tweet, in which Rubisntein said, “You had Hyper and Bonex Plan when you couldn’t pay the debt in pesos. It’s not just the debt in pesos that counts.” dollars. And you also have to consider the fall in BCRA Reserves.”
Source: Clarin
