Argentina posts first current account surplus since 2009 [View all]
Argentina's National Institute of Statistics and Censuses (INDEC) reported this week that the country registered a current account deficit of $1.372 billion in the fourth quarter - but closed 2020 with a surplus of $2.985 billion, its first since 2009.
The surplus included a $12.53 billion trade surplus, offset by foreign debt interest payments of $11.25 billion - a 35.3% reduction largely due to the successful refinance of $66 billion in foreign debt by Economy Minister Martín Guzmán in August.
The balance of payments report likewise showed the country's public foreign debt shrinking by $7.67 billion in the first 9 months of 2020, to $189.7 billion - the first net reduction since 2013.
Argentina's public foreign debt had doubled to $197.4 billion during former President Mauricio Macri's 2015-19 tenure, leading to a record $57 billion bailout from the IMF - reportedly at the behest of former President Donald Trump.
The Argentine economy meanwhile declined in 2020 by 9.9% - its worst showing since the 2002 post-convertibility crisis.
Early lockdown measures in response to the ongoing coronavirus pandemic led to a sharp recession in the 2nd quarter (-19%), though GDP has recovered steadily since May to within 1.3% of pre-pandemic levels by January.
At: https://translate.google.com/translate?sl=auto&tl=en&u=https://www.politicargentina.com/notas/202103/36295-con-pandemia-pero-sin-macri-el-indec-demostro-con-datos-que-en-2020-se-redujo-fuerte-la-deuda-externa-bruta.html
Argentine Economy Minister Martín Guzmán points to data during a recent press conference.
The center-left Alberto Fernández administration has prioritized debt sustainability following a doubling in public foreign debt under his right-wing predecessor Mauricio Macri.
Argentina is currently in talks with the IMF to refinance $45 billion borrowed by Macri - part of over $100 billion in additional net foreign debt during his 4-year tenure.
Guzmán noted that while he hoped to sign a fresh agreement with the IMF in May as originally planned, that date was flexible.
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