The Wall Street Journal proposes to eliminate the peso and dollarise the Argentine economy

In an article titled "One Dollar for Argentina", the US financial newspaper proposed to eliminate the peso and supplant it with foreign currency.

In an editorial, the media proposed to change the currency to solve the imbalances of the Argentine economy, instead of applying a dollar to the dollar as proposed by the Minister of Finance, Hernán Lacunza.

"President Macri has done nothing to reinforce confidence levels." After the polls predict a likely frustration with his re-election expectations, Macri announced a freeze on gas prices, a increase of the minimum wage and new subsidies in particular fields. light He did nothing to restore the credibility of the government, "they questioned in the Wall Street Journal.

And they added: "Argentina needs to be able to access capital markets, but its suffocation history of creditors makes it a high-risk country."

Regarding the proposal, the newspaper said that "the dollar demand suggests that Macri would have popular support to adopt the dollar as the national currency" and that the head of state could impose this change s & # He obtained the support of the majority of Congress.

"El Salvador and Panama have the lowest domestic interest rates in Latin America and the longest maturities Ecuador now enjoys price stability that it has not seen in half a century ", they argued in favor of the measure.

And they emphasized: "Dollarization eliminates the moral hazard encouraged by the bailout of central banks in the banking system.International financial markets become lenders of last resort.Another advantage is that it would be virtually impossible to return to back, unlike the 1990 convertibility law, which was violated by politicians early in the next decade. "

At the time, they concluded with a dangerous suggestion for Macri. "He may not save his presidency, but he would guarantee a legacy as a leader encouraged to defend the Argentine economies of a threatening future government," they condemned.