Economics
Argentina Seeks Way Out of ‘Hell’ With New Monetary Policy
- Economists unsure tightening can last with election in 2019
- Peso strategy may be counter-productive, Barclays analyst says
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Argentina debuts its new monetary policy on Monday amid concerns from investors over whether it’ll worsen the nation’s recession ahead of the 2019 presidential election.
Policy makers are seeking to stem a financial and economic crisis with sweeping changes under a revised deal with the International Monetary Fund and the bank’s new president, Guido Sandleris. The problem is that the reforms risk cooling the recession-ridden economy so much more that it’s unclear how long they can survive with an election a year away.