Home / ARGENTINA / The dollar drops 76 cents to $ 41, following the announcement of the government's plan to contain it

The dollar drops 76 cents to $ 41, following the announcement of the government's plan to contain it



the Monetary authority offers the market 7-day liquidity letters in two tenders. The opening of the first tender is at 11:30 AM and the positions are accepted until 11:40 AM; while the second will be at the usual time of 14:15 and the positions will be accepted until 14:25.

On Thursday, the president of the Central Bank, Guido Sandleris, announced additional measures to further reduce working capital, such as extension of the growth target 0 from the monetary base to the end of the year, abolition of the seasonal adjustment in June and adoption of a lower monthly growth rate for the non-intervention stock exchange zone.

Sandleris said that, along with this monetary policy, the Executive Branch will send a bill in the coming weeks to reform the BCRA Organic Charter.

The main points of the initiative are: "to establish that the Central Bank's priority objective is price stability" so that this obligation becomes an inevitable mandate of this institution;

To this will be added the explicit prohibition that the Central Bank finances the Treasury, "something that is already happening and that is important" that is laid down in the Charter.

In this respect, the measures of the Monetary Policy Committee: • extended the objective of growth 0 from the monetary base to the end of the year; the excess of the monetary base reached in February remains permanent and notes that the limits of the area of ​​the non-intervention exchange will increase by 1.75% in the second half of the year.

earlier, The Ministry of Finance confirmed that Argentina will auction US $ 60 million in funds from its program with the International Monetary Fund (IMF) and debt issues from April for a total of US $ 9.6 billion until the end of the year..

The information, the announcement of which was expected by the markets, was initially published by the media quoting the Finance Minister, Nicolás Dujovne.

The government will do the sale of dollars to obtain the necessary pesos, mainly to finance the current expenses, as laid down in the agreement between the country and the multilateral organization.

Speaking to the press, Dujovne emphasized that the purpose of dollar sales was to pay government spending in pesos, but not to cover foreign currency demand on the foreign exchange market, which is not provided for in the most recent agreement with the government. in Argentina. IMF.


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