The government has agreed a deal with the International Monetary Fund (IMF) for a stand-by loan of US$50 billion over a three-year period.
The figure was higher than previous estimates, which had predicted the government would seek a deal worth between US$30-40 billion.
Central Bank Governor Federico Sturzenegger and Finance Minister Nicolás Dujovne announced the details of the agreement at a press conference this evening at the Kirchner Cultural Centre in central Buenos Aires. From Washington, the IMF announced that the staff-level agreement will be subject to approval by its executive board, which will consider the Argentine government's economic plan in the coming days.
President Mauricio Macri announced in May that Argentina would seek a financing deal with the IMF following a sharp devaluation of it currency and amid a tough global outlook. The deal will bring back bad memories for some Argentines who blame the IMF's policies for the country's worst economic crisis in 2001. But Macri said Thursday's deal was needed to avoid another economic implosion.
The IMF deal "is very important starting point," Macri told reporters several hours before the loan was announced.
"We have looked to the IMF to avoid a crisis," Dujovne told journalists.
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