Taming Argentina’s economy: the team with daunting task

Argentina’s president-elect Alberto Fernández has named a transition team of economic advisers charged with turning around the country’s dire economic problems as it teeters on the brink of its ninth sovereign debt default. When a new Peronist administration takes power on December 10, it will need to act swiftly to negotiate a new agreement with the IMF and win back investor confidence amid fears of a return of state interventionism in economic policymaking. A close adviser confirmed that Mr Fernández’s finance minister and a new central bank governor are likely to be chosen from the four economists tasked with tackling what may be the incoming government’s greatest challenge. Daniel Kerner, an analyst at Eurasia Group, a risk consultancy, argued that Mr Fernández’s advisers “point to a clear heterodox strategy that will complicate relations with the IMF, debt negotiations and the overall design of a stabilisation plan”.

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Source: FT

Categories: Macroeconomy/Finance