WASHINGTON – The International Monetary Fund recommended Argentina on Friday to “accelerate the pace” of its economic reforms to reduce “vulnerabilities” and promote “strong, sustained and equitable growth.”
In a statement, the IMF delegation headed by Roberto Cardarelli that traveled to Argentina from Oct. 31 until Nov. 10 took stock of the visit.
The mission was aimed at carrying out a general review of Argentina’s economy, under “Article IV,” which involves the visit of IMF economists to collect information and exchange views with government officials, members of the private sector, members of parliament and civil organizations.
According to Cardarelli, since Mauricio Macri became president of Argentina, the “systemic transformation” of the economy has resulted in “a steady recovery from the recession that began in mid-2015.”
In its latest projections, issued in October, the IMF forecast for Argentina growth of 2.5 per cent in 2017 and 2.5 percent in 2018.
Among the “vulnerabilities” in the medium term, the IMF highlighted the “slower-than-targeted decline in inflation” and the “rapid rise in foreign currency borrowing,” as well as upward pressure on the real exchange rate.
“Accelerating the pace of reforms would help reduce vulnerabilities,” the IMF said, citing as “a good step forward” the tax reform proposed by the Argentine government and measures to reduce red tape.