Argentina Wins $50 Billion in IMF Backing to Bolster Economy
- Loan to Argentina ranks the largest in the Fund’s history
- Country will target fiscal deficit at 1.3% of GDP in 2019
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Argentina secured a $50 billion stand-by arrangement from the International Monetary Fund to help restore investor confidence as the government takes aim at double-digit inflation and a widening budget deficit.
The rescue program’s size, which would run for 36 months, is the largest ever in IMF history though it will depend on how much the government taps. It comes amid an emerging market sell-off that has shaken developing economies around the world including Brazil, Turkey, Indonesia and Mexico and has forced central banks to hike interest rates.