A draft with seven points and what does it mean to change the creditor

Thus, with the total New Background Loan that could be around up to US $ 10,000 million, According to economy, The government will cancel a part of the national treasure debt with the Central Bank documented in the so -called non -transferable letters.

For that reason, President Milei says that The “gross debt” of the National Treasury does not increase. But there is a no less modification: Change the creditor. An inter-state nominal debt is reduced (with the BCRA)- which is not enforceable, that is renewed indefinitely and has no market value- and Increase the nominal and real debt with the IMF, A first -order creditor at an international level that also has interference in economic policy.

That implies forward a greater requirement of fiscal surplus and eventually More “chainsaw” with the unemployment of public sector employees. the repeal of the retirement moratorium and a future pension reform.

In the Ministry of Economy they say that “This week the agreement is announced (“Staff Agreement”) that, although there are no official figures, “it is estimated that the disbursement exceeds US $ 7,000 million / US $ 10,000 million” and “the agreement had the determining support of the American treasure.”

Besides, “All money will be used exclusively to strengthen the Central Bank” and Argentina must respect “key orders”, such as “discretion in the use of funds” and “the continuity of the exchange strategy defined by the economic team.”

While we will have to wait for the terms of the agreement, It is interpreted that the “discretion” required by the IMF questions, among other items, The diversion of the dollars of the BCRA reserves to contain the quotes of financial dollars. Since the middle of last year they added $ 1,915 million, as Clarín reported.

On the other hand, it will be necessary to see if the dollars of the IMF loan will be untouchable in the BCRA reserves, or if the fund will authorize any availability for very specific purposes, such as other debt payments.

The National Treasury Debt with the Central Bank, as of January 31, is US $ 69,232 million. It is documented in the so -called non -transferable letters that are “papers” that were issued to 10 years renewable indefinitely, in exchange for the dollars that the Central Bank yielded to the National Treasury for the payment of debt maturities. That is, the BCRA was giving in currencies (a liquid asset) to incorporate another asset (super-cilechy like the letters).

These non -transferable letters started with Nestor Kirchner, When paying in 2006 with dollars of the Central Bank the entire then debt with the IMF of US $ 9,500 million, contracted under the “armor” of Fernando de la Rúa.

Then other payments were added during the Government of Cristina Kirchner and with Alberto Fernández-Martín Guzmán. At the same time Mauricio Macri in 2018 received the IMF loan – about US $ 44,000 million- that still owes, While interesting interests have been paid since then to the Monetary Fund for more than US $ 12,000 million.

Meanwhile, in the middle of last year, the Central Bank decided to modify the valuation criteria of the non -transferable letters assuming that 60% less were worth. Consequently, they registered in the balance sheet as of December 31, 2023 “a loss for $ 41,555,355 million compared to non -transferable letters, and $ 2,315,415 million compared to transient advances”, equivalent to about $ 45,000 million.

From these numbers it arises that with the new debt with the IMF, the Treasury will cancel a “devalued” debt with the Central Bank and thus obtain an “accounting gain” for receiving 100 of something that is worth 40. Thus, of “destroying” the Central Bank, what the Government seeks is to strengthen it because it would help to “banish” inflation.