Argentina receives $42bn from int'l financial institutions

[Judi Lynn]

April 12, 2025 05:38 p.m



Argentina's President Javier Milei (center) announcing the new agreement with the IMF surrounded by the Secretary General of the Presidency Karina Milei (left), the Economy Minister Luis Caputo (second left), the National Security Minister Patricia Bullrich (second right), and Chief Cabinet Guillermo Francos at the Casa Rosada Presidential Palace in Buenos Aires. -- AFPArgentina's President Javier Milei (center) announcing the new agreement with the IMF surrounded by the Secretary General of the Presidency Karina Milei (left), the Economy Minister Luis Caputo (second left), the National Security Minister Patricia Bullrich (second right), and Chief Cabinet Guillermo Francos at the Casa Rosada Presidential Palace in Buenos Aires. -- AFP


WASHINGTON: Three international financial institutions announced $42 billion in fresh support for financially troubled Argentina on Friday, as its president said his country’s economy will grow “like never before.” The IMF approved a new four-year $20 billion bailout for the South American nation as the World Bank said it would pump $12 billion into the economy and the Inter-American Development Bank (IDB) announced plans for a $10 billion deal.

Some of the cash is expected to flow as soon as next week to help skint Argentina defend its wobbling peso currency, in a political boon for libertarian President Javier Milei’s aggressive efforts to revive the nation’s fortunes. “Argentina will be the country with the strongest economic growth for the coming 30 years,” the self-styled “anarcho-capitalist” leader said in a TV address, adding that the economy will grow “like never before.” Finance Minister Luis Caputo had earlier said that “within 60 days” Buenos Aires expects to receive $19 billion from the IMF, World Bank and other sources including the IDB.

That figure will include an “immediate” first tranche of $12 billion from the IMF, the institution’s board said in a statement. The program is “a vote of confidence in the Government’s determination to advance reforms, foster growth & deliver higher standards of living for the Argentine people,” IMF boss Kristalina Georgieva posted on X, hailing Milei’s “impressive progress in stabilizing the economy.”

For its part, the World Bank said $1.5 billion would be released to Argentina immediately. It is the 23rd time the IMF has bailed out Argentina since it became a member of the Washington-based institution in 1956. Caputo had earlier said that the IMF money would allow the “recapitalization of the Central Bank... and continue the disinflation process.”

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