Argentina’s decision to nationalize oil producer YPF SA was a “mistake” and the “wrong thing to do,” outgoing World Bank President Robert Zoellick said.
Argentine President Cristina Fernandez de Kirchner on April 16 announced plans to seize a 51 percent stake in YPF from Spain’s Repsol-YPF SA. The expropriation follows the takeovers of airline Aerolineas Argentinas SA and a $24 billion in pension funds by Fernandez since she took office in 2007.
Zoellick, whose term ends June 30, also said the Eurozone is going to be “walking a very fine line” and the region’s banking system “remains under significant stress.”
Jim Yong Kim, the candidate nominated by the U.S., was selected April 16 to head the World Bank.