PARIS (Reuters) – Argentina’s new economy minister must give her commitment to an IMF programme in order for the Paris Club of creditor nations to open talks on the South American country’s debt, a Paris Club source said on Thursday.
Argentina was due to hold talks on Wednesday with the group of government creditors but had to pull out after the surprise weekend resignation of economy minister Martin Guzman days ahead of the trip to the French capital.
His abrupt departure on Saturday sparked concerns of a shift towards populist policies and state spending in Argentina, which is grappling with sky-high inflation, while raising concerns that the new government would seek to change the terms of a deal with the International Monetary Fund.
The Paris Club source said that the group wanted assurances that the new economy minister, Silvina Batakis, planned to go ahead with implementing the IMF programme.
“It’s a precondition for any new agreement with Argentina,” the source said.
“If we get this condition, we are ready at any time to have a negotiation session with the Argentine authorities about the Paris Club debt,” the source added.
(Reporting by Leigh Thomas; Editing by Toby Chopra and David Evans)
