Argentina economy cannot afford another total lockdown, minister says – MercoPress


Argentina’s economy cannot afford another total lockdown, minister says

Monday, April 5, 2021 – 10:20 a.m. UTC

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?? We have nine consecutive months of growing economic activity, ?? Guzman said.

Argentina’s Economy Minister Martin Guzman said in a TV interview on Saturday that his country could not afford another full quarantine and made it clear that the government would have to find another way to deal with the new stage of the covid-19 pandemic.

The minister stressed that the government will take measures different from those of March of last year. Let’s look at what’s happening now: We are still in a pandemic, but we have increased for nine consecutive months of economic activity.

According to Guzman, Argentina is the economy which is recovering the most. he said. ?? There are sectors which are of course feeling the effects of the pandemic but which are recovering very strongly ??.

The official insisted: “In fact, we have revised upwards the growth forecast for 2020. It was 5.5% in the September 2020 projection and today it is 7%, which is also a cautious forecast because it is worth being careful. But the reality is that the pandemic is here, the pandemic is hitting everyone, but the policies that were adopted in 2020 have allowed us to be in a better situation than other countries in the region, having protected the workforce. and capital in the economy? ?.

However, he admitted on Sunday that an increase in utility tariffs was on the agenda. If you increase the rates by one digit for everyone, the budget will not be respected and the macroeconomic program will not be respected. This is not going to be done. ??

The plan is that those who need the current subsidy will continue to receive it, but those who can do without it will pay the full rate, to avoid a sharp increase in government spending on subsidies.

Guzmán also addressed the ongoing negotiations with the International Monetary Fund and Vice President Cristina Fernández de Kirchner’s statement on the country’s inability to pay.

What the vice-president is saying is correct from the point of view that the more time you have to pay, the better. But, at the same time, we have to look for agreements that allow us to have a clearer financial horizon and that is going to be a laborious task. It will take years to be able to be on the mainland, with conditions such that Argentina clearly has no problem financially, ?? explained the minister.

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