Argentina's Fernandez Says Social Pact Sends ‘Strong Message' to IMF, Creditors

Argentina’s new President Alberto Fernandez said on Thursday that a social pact with businesses and trade unions sent a “strong message” to creditors including the IMF that the economy must be allowed to grow before the country can pay its debts, Reuters reported. The broad agreement struck last week, a core plank of the new Peronist administration’s plans to revive the economy and rein in inflation, gives Fernandez extra muscle in looming restructuring talks over around $100 billion in debt. “It is the first time where businessmen, workers and the State come together to tell creditors that Argentina must first grow and then meet its obligations,” Fernandez said in an interview with local station Radio 10 on Thursday. “It’s a very strong message for the Fund and for creditors.” Read more

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