International
Argentina will honor economic goals agreed with IMF: new minister
AFP
Argentina’s new economy minister said Monday the country would honor fiscal deficit goals and other commitments made under a deal struck with the IMF to refinance a debt of some $44 billion.
Under the agreement negotiated by Silvina Batakis’ predecessor Martin Guzman, who resigned suddenly nine days ago, Argentina committed to reducing its fiscal deficit from 3.0 percent of GDP last year to 2.5 percent in 2022, 1.9 percent in 2023 and 0.9 percent in 2024.
“The goals agreed with the IMF are maintained,” Batakis said in Buenos Aires at her first press conference since taking office a week ago.
“It is an agreement we signed as a state and we must comply.”
In 2018, under the government of conservative President Mauricio Macri, the International Monetary Fund granted its biggest-ever loan of $57 billion to Argentina.
The country received $44 billion of that amount and Macri’s successor Alberto Fernandez refused to accept the rest.
As the country struggled to repay its debt, a refinancing agreement was reached this year after protracted negotiations.
Guzman resigned suddenly on July 2 amid a power struggle between Argentina’s president and vice president, sparking fresh uncertainty in Latin America’s third largest economy.
The peso fell sharply last Monday against the US dollar after Batakis’ appointment.
On Monday, the 53-year-old said there was a need to “give order and balance to the public finances,” and vowed that “we will not spend more than we have.”
Among her proposals: to reduce energy subsidies, which in 2021 amounted to $11 billion or 2.3 percent of GDP, by applying a sliding scale to prices for gas and electricity based on income.
In 2020, the Argentine economy contracted 9.9 percent before rebounding the following year by 10.3 percent.
For this year, the IMF predicts growth of 4.0 percent.
At the time the refinancing agreement was reached, Argentina’s inflation was projected to reach 52 percent in 2022 — already one of the highest in the world.
Since then, the war in Ukraine has sent prices soaring worldwide, and Argentina marked year-on-year inflation of 60 percent in May.
“The agreement was signed before the rise in global inflation,” said Batakis, adding a new estimate for 2022 was being compiled.
“It is a methodological issue we are evaluating, not a shifting of the goal,” she insisted.
A survey by Argentina’s central bank of projections for 2022 inflation put the rate at some 76 percent.
International
U.S. Senate Rejects Budget, Bringing Government Closer to Shutdown Amid DHS Dispute
The U.S. Senate voted on Thursday against a budget proposal in a move aimed at pressuring changes at the Department of Homeland Security (DHS), following the killing of two civilians during a deployment of immigration agents in Minneapolis.
All Senate Democrats and seven Republican lawmakers voted against the bill, which requires 60 votes to advance, pushing the country closer to a partial government shutdown that would cut funding for several agencies, including the Pentagon and the Department of Health.
The rejection came as Senate leaders and the White House continue negotiations on a separate funding package for DHS that would allow reforms to the agency. Proposed measures include banning Immigration and Customs Enforcement (ICE) agents from wearing face coverings and requiring them to use body-worn cameras during operations.
The vote took place just hours after President Donald Trump said he was “close” to reaching an agreement with Democrats and did not believe the federal government would face another shutdown, following last year’s record stoppage.
“I don’t think the Democrats want a shutdown either, so we’ll work in a bipartisan way to avoid it. Hopefully, there will be no government shutdown. We’re working on that right now,” Trump said during a Cabinet meeting at the White House.
International
Trump Says Putin Agreed to One-Week Halt in Attacks on Ukraine Amid Extreme Cold
U.S. President Donald Trump said on Thursday that he secured a commitment from Russian President Vladimir Putinto halt attacks against Ukraine for one week, citing extreme weather conditions affecting the region.
“Because of the extreme cold (…) I personally asked Putin not to attack Kyiv or other cities and towns for a week. And he agreed. He was very pleasant,” Trump said during a Cabinet meeting broadcast by the White House.
Trump acknowledged that several advisers had questioned the decision to make the call.
“A lot of people told me not to waste the call because they wouldn’t agree. And he accepted. And we’re very happy they did, because they don’t need missiles hitting their towns and cities,” the president said.
According to Trump, Ukrainian authorities reacted with surprise to the announcement but welcomed the possibility of a temporary ceasefire.
“It’s extraordinarily cold, record cold (…) They say they’ve never experienced cold like this,” he added.
Ukrainian President Volodymyr Zelensky later commented on the announcement, expressing hope that the agreement would be honored.
International
Storm Kristin Kills Five in Portugal, Leaves Nearly 500,000 Without Power
Storm Kristin, which battered Portugal with heavy rain and strong winds early Wednesday, has left at least five people dead, while nearly half a million residents remained without electricity as of Thursday, according to updated figures from authorities.
The revised death toll was confirmed to AFP by a spokesperson for the National Emergency and Civil Protection Authority (ANPEC). On Wednesday, the agency had reported four fatalities.
Meanwhile, E-Redes, the country’s electricity distribution network operator, said that around 450,000 customers were still without power, particularly in central Portugal.
Emergency services responded to approximately 1,500 incidents between midnight and 8:00 a.m. local time on Wednesday, as the storm caused widespread disruptions.
The Portuguese government described Kristin as an “extreme weather event” that inflicted significant damage across several regions of the country. At the height of the storm, as many as 850,000 households and institutions lost electricity during the early hours of Wednesday.
Several municipalities ordered the closure of schools, many of which remained shut on Thursday due to ongoing adverse conditions.
Ricardo Costa, regional deputy commander of the Leiria Fire Brigade, said residents continue to seek assistance as rainfall persists.
“Even though the rain is not extremely intense, it is causing extensive damage to homes,” he noted.
In Figueira da Foz, a coastal city in central Portugal, strong winds toppled a giant Ferris wheel, underscoring the severity of the storm.
U.S. and Guatemala Sign Trade Deal Granting Zero Tariffs to Most Exports
Panama Supreme Court Strikes Down Panama Ports Concession as Unconstitutional
U.S. Senate Rejects Budget, Bringing Government Closer to Shutdown Amid DHS Dispute
Tec de Monterrey honors one of its students for his contribution to nanotechnology in medicine
Defense Minister commends salvadoran soldier for Central American Cross Country victory
Extension of the state of emergency approved in southern Chile
-
International4 days agoFootball Fan Killed in Clashes After Colombian League Match
-
Central America4 days agoGuatemala President Says Starlink Terminal Found Inside Prison
-
International3 days agoU.S. Senate Rejects Budget, Bringing Government Closer to Shutdown Amid DHS Dispute
-
International4 days agoRubio Says U.S. Could Participate in Follow-Up Russia-Ukraine Talks
-
International4 days agoMissing Spanish Sailor Rescued After 11 Days Adrift in Mediterranean
-
Central America2 days agoPanama Supreme Court Strikes Down Panama Ports Concession as Unconstitutional
-
International3 days agoStorm Kristin Kills Five in Portugal, Leaves Nearly 500,000 Without Power
-
Central America2 days agoU.S. and Guatemala Sign Trade Deal Granting Zero Tariffs to Most Exports
-
International3 days agoMan Arrested After Vehicle Crashes Into Jewish Institution in Brooklyn
-
International3 days agoTrump Says Putin Agreed to One-Week Halt in Attacks on Ukraine Amid Extreme Cold