In a new milestone for the Argentinian economy, the government of Javier Milei reached a historic technical agreement with the International Monetary Fund (IMF) to implement a comprehensive economic program under the Extended Fund Facility (EFF). The agreement, which must be approved by the Executive Board of the organization in the coming days, involves USD 20 billion—the equivalent of 15.267 billion Special Drawing Rights (SDR), or 479% of the country's quota—and represents a resounding endorsement of the stabilization plan undertaken by the libertarian administration.
The announcement was confirmed from Washington in an IMF statement that highlighted "the impressive initial progress of the authorities in stabilizing the economy, supported by a solid fiscal anchor", praising the rapid decline in inflation and the incipient recovery of economic activity and social indicators.
The credit requested by Argentina has a key feature: it will be freely available, meaning the government can use the funds without operational restrictions, a show of confidence by the organization toward the economic leadership headed by Minister Luis "Toto" Caputo. "This is not new debt—clarified the official—but an instrument to repurchase the non-transferable notes held by the Central Bank and thus restore its balance."
