© Reuters. A graffiti reads “IMF or future” outside Argentina’s Banco Nacion (National Bank) in Buenos Aires’ financial district, Argentina, July 4, 2022. REUTERS/Agustin Marcarian/File Photo
By Jorgelina do Rosario
BUENOS AIRES (Reuters) -Argentina’s Leonardo Madcur, a top adviser under outgoing Economy Minister Sergio Massa, is set to be named the country’s representative at the International Monetary Fund (IMF), three people familiar with the matter told Reuters.
Madcur resigned from his position as Massa’s chief of advisers in the ministry on Dec. 7, according to a decree published in the official gazette.
As a top adviser in the ministry, Madcur was part of the Argentina delegation who negotiated with IMF officials overseeing the nation’s $44 billion programme.
The role of country representative will be key over coming months as the programme is now off track after missing several targets. Argentina is the IMF’s biggest borrower.
He was also part of the team that worked on the transition from Massa to Luis Caputo, who will take over the economy ministry on Dec. 10 when Argentina’s president-elect Javier Milei will take office.
A spokesperson for Milei said Madcur’s position has not been confirmed nor published in official statements. Madcur did not reply to a request for comment.
Incoming minister Caputo met with IMF officials at the end of November during a trip to Washington. Milei needs to get the country’s IMF deal back on track urgently with support from the U.S. – the IMF’s largest shareholder.
The 2022 program with the Fund is used mostly to pay the Fund back for a failed $57 billion loan from 2018.
There is a pending November review under the loan that would unlock over $3.2 billion in disbursements if it is approved by both IMF staff and the Fund’s executive board, but it is unclear if the review will be completed before the year-end.
It is also unclear if the new administration intends to request a new program with the IMF.
Argentina has payments to the Fund for $900 million in December, with almost $2 billion due in January.
Faced with deeply negative reserves in the central bank, the previous administration has tapped repeatedly a currency swap with China’s central bank to pay the IMF.
The position of representative to the IMF is one that has seen few personnel changes from Argentina in recent years.
