Economy

Reuters reported first that Argentina’s government was in talks with the International Monetary Fund to lower its foreign exchange reserve targets for this year under its $44 billion program with the Washington-based lender. The talks come as the South American commodities exporter is facing the worst drought in 60 years, which has seen hard-currency revenues come under pressure and with its reserves in focus after the government announced in January a debt buyback of its overseas bonds of up to $1 billion.

Market Impact

At time of publication, net reserves stand at around $4.4 billion, according to calculations from Buenos Aires-based brokerage firm PPI Inversiones. Under the latest review, Argentina had been set the target of net reserves to increase by $5.5 billion at the end of March and $9.8 billion at the end of the year.

Article Tags

Topics of Interest: Economy

Type: Reuters Best

Sectors: Economy & Policy

Regions: Americas

Countries: ArgentinaUnited States

Win Types: Exclusivity

Story Types: Exclusive / Scoop

Media Types: Text

Customer Impact: Important Regional Story

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