For the IMF, inflation is "much more rooted" than they had estimated – 01/03/2019

The International Monetary Fund estimates that in Argentina "Inflation is more entrenched than we thought", at a time when the February price index is about to be revealed, which would be higher than the estimates.

At a conference at the Council of the Americas in New York, the organization's Western Hemisphere leader, Alejandro Werner, spoke about emerging markets and Argentina took a good part of the discussion.

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The official spoke after the return of Buenos Aires from the technical mission of the body headed by Roberto Cardarelli, who reviewed the progress of the program agreed with the IMF last year to submit a report to the Board of Directors which must approve or reject an expense of $ 10,700 million. In January, inflation was 2.9% and February would be higher than expected by Argentine authorities.

On the price index, Werner said that "what our forecasts have neglected in the inflationary process is that inflation is more entrenched than we thoughtsaid the manager, although he said that lowering it "Take time" because there are "windows" where prices can go up.

The official said the economic policy "is going in the right direction", with a "good implementation of the program" agreed with the Fund. And that the government had "reached the budget targets for 2018 and was on track to meet the 2019 targets."

However, Werner added that the administration of Mauricio Macri "Maybe he overcame his goals and the investors bought it naively." He added that these businessmen "now sanction the Argentine authorities for their mistakes and mistakes to think that it was possible to move from Argentina to Kirchner to the one we see today. in Chile or Mexico ".

"It will take a lot of time in Argentina, but we see these steps," he said and added that "Argentina is moving in the right direction"although he noticed that "the inheritance was very heavy".

Werner said the Central Bank should continue its policy "Clear and transparent"To fight against inflation and stressed that the agreement with the agency envisaged a reform of the BCRA charter that should be sent this month to Congress." At this point, you do not build monetary independence overnight, "he said.