The International Monetary Fund (IMF) and World Bank have given Argentina financial support with bailout packages totaling $32 billion. These funds could encourage economic growth in Argentina. The Argentine President, Javier Milei, a politician who supports libertarian economic ideas, says that these financial aids will boost Argentina’s rapidly growing economy. The package from the Inter-American Development Bank adds up to $10 billion.

Milei stated in a national television address that Argentina will experience unprecedented economic growth. He has implemented policies to reduce inflation, which have been controversial and led to protests across the country.

The IMF and World Bank expressed confidence in Argentina’s efforts to modernize its economy and increase employment through the bailout. The IMF’s Director, Kristalina Georgieva, praised the government’s initiatives to improve the economy.

The bailouts represent a significant victory for Milei, who has implemented tough economic reforms since taking office in December 2023. These reforms have resulted in job losses and cuts to government programs. After the announcement of the bailouts, the Argentinian government eased its currency controls, allowing citizens to purchase unlimited amounts of US dollars.

Argentina, which joined the IMF in 1956, has received bailouts 23 times previously. Despite the optimism from Milei and the international financial organizations, Argentina faces ongoing economic and social challenges.

Edited by: Wesley Dockery

Source: https://www.dw.com/en/imf-world-bank-approve-new-bailouts-for-argentina/a-72225989?maca=en-rss-en-all-1573-rdf