IMF Has a Decision to Make In Argentina: Rock or Hard Place?

The International Monetary Fund has a tough choice to make in Argentina: Unlock over $5 billion in funds under the country’s loan deal as the government strains to stave off default, or hold the money back and risk sparking more market panic, Reuters reported. The IMF, which agreed a $57 billion line of credit with the South American nation last year, needs to make a decision on releasing the latest tranche of those funds. The disbursement was originally set to be made this month. But that has been thrown into disarray after a huge primary election defeat for business-friendly President Mauricio Macri last month sparked a crash in the peso, leading his government to impose capital controls to stem the rout. Read more