Argentina, IMF Negotiating Additional $3Bln-$5Bln Loan Above Approved $50Bln - Reports

Argentina, IMF Negotiating Additional $3Bln-$5Bln Loan Above Approved $50Bln - Reports

Argentina may get an additional loan from the International Monetary Fund (IMF) amounting to between $3 billion and $5 billion, local media reported Monday.

MEXICO CITY (Pakistan Point News / Sputnik - 24th September, 2018) Argentina may get an additional loan from the International Monetary Fund (IMF) amounting to between $3 billion and $5 billion, local media reported Monday.

The loan may be provided in addition to the previously approved $50 billion, La Nacion newspaper reported, citing official sources.

According to Argentine Treasury Minister Nicolas Dujovne, these funds will be enough for payments covering the country's debt obligations in 2019-2020.

In turn, Argentine President Mauricio Macri told Bloomberg tv that the deal would be announced "in a couple of days," estimating the chance of the country's default at zero.

According to Macri, the country is expecting a period of recession within 4-5 months, but will not stop paying its debts.

In late June, the IMF officially approved a loan of $50 billion to Argentina under the stand-by scheme. This decision allows the country to receive the first tranche of $15 billion, half of this amount will be used to support the state budget. The remaining $35 billion of the IMF financial support will be available on the results of the quarterly reviews.

Later, IMF spokesman Gerry Rice said that the fund was discussing with Argentina the stability of the country's debt.

Argentina is facing a harsh economic crisis with the exchange rate of the national Currency, peso, having fallen about 45 percent since the start of the year. In late August, Macri said that the country might need the $50 billion package of the IMF aid ahead of the schedule as Argentina could fail to meet its debt obligations for 2019.