Advanced Search

LatinNews Daily - 15 July 2019

Click here for printer friendly version
Click here for full report

In brief: Argentina

* Credit ratings agency Moody’s Investors Service has changed the outlook for Argentina’s government to 'negative' from 'stable'. According to a press release the downgrade reflects: “Increased uncertainty regarding the continued implementation of policies that, by addressing Argentina’s fundamental imbalances, restore reliable access to international capital markets and contain the risk of further damaging currency shocks” and “relatedly, the rising risk that policy uncertainty itself leads to a material, sustained shift in sentiment that increases financing pressures and erodes buffers”. Moody’s announcement comes despite the fact that Argentina's finance minister, Nicolás Dujovne, announced on 12 June that Argentina registered a primary fiscal surplus of Ar$30.3bn (US$721m) for the first half of 2019 – the first time in eight years that it had registered a surplus. This is a considerable improvement on 2018 first half figures, which indicated an Ar$105.8bn deficit.