Saturday , August 13 2022

Alfonso Prat-Gay: "In 2003 with Lavagna we stood before the Fund and we managed to impose our criterion"


"I think that It is unwise to talk about a price agreement and dilate the ads for a long time because The usual practice of price trainers in Argentina is exactly to cover it in advance And the one who tries such an agreement is to avoid this inertia. So if you dilate the ads, knowing the mischief of those that are covered, This has already had an impact on April inflation"Said Prat-Gay.

However, the former minister rescued that the Government "is finally looking for alternatives". "They have noticed that the phenomenon of inflation is much more complex than simply raising the interest rate"He pointed out.

In this regard, the Minister recalled that at the beginning of his term in the Treasury he proposed "a great national agreement with businessmen and unions" in some way regulating the prices but that was finally not realized by "A bad political decision" from the prefecture of Cabinet.

"The Cabinet authorities proposed at that time not to make an agreement because They believed that it was to weaken the president to make it share power immediately after a choice. And I think that it is the other way around, it was time to extend a hand and seek consensus, Especially after the strong electoral support for the midterm elections, "he said.

For Prat-Gay la "Key" so that the measures that the government plans to announce next week will be in "recover the confidence of society".

"When a Government suffers from a lack of confidence and The authorities do not have enough credibility, it costs a little more. We need the government to reverse this situation of mistrust and one of the ways is to dialogue with all sectors and with the opposition, "he said in a dialogue with Radio Miter.

Meanwhile, the economist warned that although he does not know all the announcements that the president will do next week, at the moment "It seems more an emergency plan before the elections".

On the other hand, he considered that the decision of Argentina to appeal to the monetary Fund was "premature" and urged the Argentine authorities to discuss "pam to pam" to guide the program to the needs of the country .

"The fund's program was oriented to a reality that was not what Argentina needed and Sandleris himself is realizing that the mantra of zero deficit and zero emission did not arrive And we must celebrate that you are reviewing some of the issues that do not work, "he explained.

Asked about what he would do if he assumed himself again as a minister in December next, Prat-Gay noted that, "Beyond the obvious renegotiate deadlines"The discussion that should have with the IMF" is much deeper. "

"The last time Argentina had a broad agreement with the Fund was in 2003 with Lavagna in charge of the Treasury and with me at the Central Bank. Between the two We stood before the Fund and we managed to impose our criterion. That's what it takes ", he pointed out.

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