BACK TO THE DARK AGES
Adapted from the original Article published in the Buenos Aires Herald
The IMF in its latest report on ARGENTINA had the guts to once again claim that ARGENTINA should devaluate the peso and apply austerity measures in order to stimulate growth. It seems the IMF keeps on preaching its same formula that has put ARGENTINA into default in 2001 in the first place, not to mention all the other counties that faced similar scenarios once they followed IMF doctrines. ARGENTINA, under MENEM’S era was the “SUNNY BOY” of the IMF, doing everything the IMF asked for, which lead to the biggest single countries default in history (with the exception of the LEHMAN BROTHERS)
IMF and ARGENTINA
The current administration has de facto ignored the IMF, paid back outstanding debts with the organization and thus was not succumb to IMF doctrines, which naturally infuriated the IMF since it had no influence upon ARGENTINA. On top of that, ARGENTINA has defied all “monetary attacks” and avoided stepping into the debt trap, instigated by the International Financial Institutions by simply refusing to adhere to IMF recommendations.
THE QUESTION IS IF MACRI IS ELECTED PRESIDENT, WILL HE SAY ‘NO’ TO THE IMF?
The International Monetary Fund (IMF) returns with its formulas to request a profound adjustment of the economy and to devaluate, which the current government, for good reasons will not adhered too. The current administration questions the IMF report which stipulates the need to devalue its currency and pursue austerity measures if it hopes to return to growth.
“I don’t know what calls the attention of the IMF. The (International) Monetary Fund has behaved as it has behaved all its life, with policies linked to the WASHINGTON Consensus and to responses that care little about the situation in which the populations of countries where they refer to are,” Cabinet Chief ANÍBAL FERNÁNDEZ told reporters.
IMF - LACK OF REALITY
FERNÁNDEZ pointed out the FORBES magazine in fact had said the problems the IMF found in countries had to be resolved by sending the organization’s analysts “to live, have a salary and pay taxes” in the nations they were analyzing. Instead, the head of minister added, IMF analysts conduct their research "from desks, as if they had a capacity of wisdom and knowledge about the on goings in the world where they make decisions of such characteristics.”
“As our country does not think like them, or at least till the country is presided over by CRISTINA FERNÁNDEZ DE KIRCHNER, it is for sure that there will be no situations of those characteristics with the IMF.”
MACRI HEEDS TO JUDGE GRIESA’S RULING?
The ex-senator later linked the IMF’s position with PRO party leader and presidential hopeful MAURICIO MACRI.
“Having said that, do you picture (Mauricio) MACRI, a representative of ARGENTINA’S right-wing, someone who dared to say that (US Judge Thomas) GRIESA had to be listened to and simply pay the money they want to steal from ARGENTINEANS, telling 'no' to the INTERNATIONAL MONETARY FUND, which pretends to make adjustments off all nature, fundamentally on wages?”
MACRI, THE NEW SUNNY BOY OF THE IMF?
“We have seen this situation coming; the thing is now the International Monetary Fund (IMF) has decided to act as a leading character, no longer as part of the cast, in a movie in which (Mauricio) MACRI is the little guy and we already knew what they were talking about.”
The cabinet chief assured presidential hopefuls such as the head of the PRO party defended the IMF’s formulas and questioned meetings MACRI had held with some union leaders over the past days promising to raise the income tax floor, something the government has said will not yet modify.
IMF ALWAYS HAS MONETARY PERSPECTIVE WITHOUT CONSIDERING STRUCTURAL MATTERS
Even renowned ARGENTINE Economist ALDO FERRER questioned the IMF report on ARGENTINA'S economic scenario.
Economist ALDO FERRER has said the International Monetary Fund (IMF) was “incorrigible” thus questioning the report the credit organism released, saying ARGENTINA should devalue on its peso currency and carry out austerity policies to get back on the track of growth.
“There are economists who are planning to head back to the (International Monetary) Fund,” FERRER told Radio America, adding the organization’s recommendations were “useless.”
“What the IMF says has to be taken as information and have the prudence to not owe nothing to it,” FERRER affirmed considering the organization commanded by CHRISTINE LAGARDE “incorrigible.”
“The IMF always has its monetary perspective without considering structural matters."
Via Buenos Aires Herald