In his first public appearance as new Economy Minister, Martín Guzmán outlined the broad themes of the policy proposals that he hopes will take Argentina out of a “virtual default”. Guzmán disclosed that there are already ongoing negotiations with the International Monetary Fund (IMF) for a new programme amid a recession. Guzmán also anticipated that “the year 2020 is not a year in which fiscal adjustment can be made” and that”a larger fiscal contraction would deepen the recession and aggravate the problem”.
The president of Brazil, Jair Bolsonaro invited Argentine Alberto Fernández, to visit Brazil, in a gesture interpreted as a reduction of the tension between both leaders that had been escalating during the election campaign. He said that “Fernández now speaks in a different way” about the “agreement between Mercosur and the European Union”.
Two days after taking office, President Alberto Fernández will pay today ca. $ 430 million in obligations of Treasury Bills, in the so called Letes and Lecap that originally expired in September and were re-profiled. The remaining maturities in December total ca. $ 5.3 billion. It is estimated that 40% of these papers are in private hands.
A consortium led by China Huadian Corp. is close to acquiring a controlling stake in Argentine power generator Stoneway Group LP, according to people familiar with the matter. State-owned Huadian and its partners will acquire about 80% of Stoneway in a deal expected next week. The group will make the acquisition in three tranches through a unit called China Huadian Engineering.