The International Monetary Fund issues a warning about what is happening in Argentina

Economist Pierre-Olivier Gorinchas, from International Monetary Fund (IMF)Beware of what is happening in Argentina. “The economic situation is very worrying,” he said during a press conference.

“At the moment, Argentina has a well-established inflationary process,” he emphasized. The annual inflation rate in June was 64%. There are expectations that it could increase. Reducing them should be the country’s top priority.”

The warning issued by the executive branch on Tuesday, 26, came a day after the Minister of Economy, Silvina Patakis, met with the Managing Director of the International Monetary Fund, Kristalina Georgieva, in Washington, and the institution’s staff.

In March of this year, Argentina reached an agreement with the International Monetary Fund to refinance its $45 billion debt, which was contracted during the government of former President Mauricio Macri, to become the fund’s largest debtor.

Silvina is trying to make some of the IMF’s requirements more flexible, such as fiscal adjustment and less state interference in the economy. One of the complaints of the Vice President of State, Christina Kirchner, with Silvina’s predecessor was that the minister accepted many demands from the financial institution.

Moreover, during legislative elections Christina criticized the minister for not opening the coffers to pay for social programs.

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