In the midst of the strong uncertainty about the short and medium term of the Argentine economy, with the impact of the drought on activity, the outflow of reserves, the latest decision on the conversion of public debt and inflationary and exchange rate pressures, businessmen gathered this Tuesday in Puerto Madero to participate in the 15th symposium organized by the IAEF, the Argentine Institute of Financial Executives.
All of these themes were featured in corridor talks and presentations by invited speakers. upon openingSebastián Negri, head of the National Securities Commission (CNV), stated that, in the light of the post-pandemic effects, of the war in Europe and even of the residues of the 2001 crisis, the diagnosis for Argentina is “dramatic”.
“It’s our turn one of the worst droughts in history, with all the impact this has not only on our fragile currency balancebut in our value chain, in our aggregate economic activity,” he began by describing the official, who recalled: “We had a private dollar debt negotiation, a fallen stand by with the IMF, which forces us somehow to Have an economic dual command for at least a decade with the Fund, which monitors us every day”.
Negri pointed out that this happens in a correlate of “zero foreign exchange earnings”: “The money has already come in, what you have to do now is pay. Also there is a net outflow of foreign currency have that dual economic command for a decade, no matter what government it is,” he warned and pointed at Congress: “We have a Congress that shows in practice the inability to pass the laws that are necessary to get out of this situation,” he She said.
Furthermore, the main local capital market regulator has warned that the current economic model has “remnants of 2001”: “We have low exports, with withholdings. We have low reserves, a phenomenon that favors the gap, which complicates all activity economy in general,” he said.
Despite this “very pessimistic and even dramatic” diagnosis, Negri said: “The truth is that the country grew last year. Unemployment has also dropped by a few tenths and we have reached peaks in industrial production and installed capacity. the capital market works”.
Source: Clarin
