Day: October 28, 2019

New elected president Alberto Fernández inherits an economy in critical condition

The economic activity is at minimum levels since 2001, with consumption falls in 42 months of Mauricio Macri’s 45 months in office. Since Macri took power in 2015 after defeating the candidate of Kirchnerismo, inflation has accumulated more than 290%, dollar has rocketed to 560% (from 9.84 pesos in 2015 to current 65 pesos), the price for electricity 3,240.1%, gas 4,096.3%. Argentina’s public debt grew more than 50% between December 2015 and June 2019, which represents an amount of more than $334 billion. In that period, $73,160 million also left the country.

Argentina Central Bank toughens the exchange clamp: purchases of no more than $200 per month

On Sunday midnight, soon after the elections, the Central Bank (BCRA) informed its decision to reduce the purchase of dollars from $10,000 to $200 per month for individuals with a bank account and to $ 100 per month for cash purchases. These limits are not cumulative, the BCRA said. The BCRA has $43.5 billion of gross reserves left. Last week, it lost nearly $3.4 billion and so far in October, $2.1 billion. In September, it lost $10.6 billion.

Cristina Fernández de Kirchner returns to office as VP putting an end to the pro-business economic policies of Macri’s administration

In a dramatic comeback, Cristina Fernández de Kirchner, one of Argentina’s most popular presidents during her two terms in 2007-2015, has been voted back into office as Vicepresident of Alberto Fernández, a moderate Peronist who has pledged to respect the $57bn IMF loan taken out by incumbent Mauricio Macri last year. The victory puts an end to the pro-business economic policies of Macri’s administration, who promised “zero poverty” during his electoral campaign but exits office with a plunging peso, an inflation rate that rocketed to an annual 56% and the number of people living beneath the breadline having risen from 29% to 35%.

Argentina election: Centre-left Alberto Fernández wins presidency

Centre-left opposition candidate Alberto Fernández has been elected president of Argentina in a vote dominated by economic concerns. Mr Fernández secured more than the 45% of the vote needed to win, beating conservative incumbent Mauricio Macri. The vote was held amid an economic crisis that has left a third of Argentina’s population in poverty. Mr Macri had trailed behind his challenger in pre-election polls and was trounced by the opposition in primary elections in August. He conceded defeat on Sunday night. Congratulating his political rival, he said he had invited Mr Fernández to the presidential palace on Monday to discuss an orderly transition. Mr Fernández later told supporters he would collaborate with the outgoing president “in every way we can”, according to Reuters.