Surprise visit: the number 2 of the IMF comes to closely follow Javier Milei’s reforms

Number two of International Monetary Fund, Gita Gopinathwill arrive this Wednesday in Buenos Aires in a surprise visit with the purpose of experience first-hand the delicate Argentine economic situation and the evolution of reforms that Javier Milei’s government is trying to implement.

The Fund’s communications secretary, Julie Kozack, announced on her X (formerly Twitter) account that the organization’s first deputy executive director will travel tonight to Argentina for a visit that it had not been announced previously.

Gopinath, a 52-year-old Indian-American economist and academic, is the right hand by Kristalina Georgieva and it is deeply rooted in the Argentine case. It will be the first time the official, who took office in 2022, will visit Argentina. will also travel Luis Cubeddu, the deputy director of the Department of the Western Hemisphere and who is at the helm of negotiations with the Argentine government.

Although the agenda has not been officially confirmed, Gopinath to meet Milei, with the Minister of Economy Luis Caputo, the president of the Central Bank Santiago Bausili and also with different civil society groups, as you can see entrepreneurs, trade unionists and most likely to members of the opposition.

Gopinath already met Milei in person last month in Davos and the trip to Argentina is intended as a strong gesture of support in addition to the libertarian president and the reforms he proposes. The message that Gita will bring is clear: wants to highlight the possible benefits that the reforms raised by Milei it would mean for the Argentines and Argentina’s potential in the world if the changes are implemented, when they are there Congressional reluctance to approve them.

In this sense also refers to the visit that the American Secretary of State will make, Anthony Blinken, who will arrive in Buenos Aires from Brazil on Thursday, where he will meet Lula and participate in a G20 meeting. The United States is a key player in the Fund, as the organization’s largest shareholder, and supports the reforms proposed by the libertarian.

Both the Fund and the United States want to support Argentina as it emerges from the crisis and understand that Milei reflects a conviction for reform that they have not seen in any previous government. They know that libertarians are very determined to change, but there are doubts both in the Treasury and in the IMF and on Wall Street about the political capacity to implement reforms. The Omnibus bill’s first setback in Congress was a sign of the difficulties it faces.

There is also concern for the social situation, as they estimate that the adjustment Milei is implementing is more severe than initially requested by the Fund and the lower middle class will be severely impacted. Gopinath will try firsthand feel the social temperature because what the Fund wants least is an explosion.

After this week of high-tension visits, Milei will leave for Washington at the Annual Conservative Conference (CPAC), where he will speak in front of an audience of representatives of the American right, together with international guests such as the Salvadoran Nayib Bukele and the Spanish VOX leader Santiago Abascal. The star of the conference will be former President Donald Trump, who will speak on Saturday, the same day as Milei, and they will likely take a photo together.