Argentina - When it comes to getting more dollars, President Cristina Fernandez de Kirchner is more than willing to comply with the International Monetary Fund.

Anti-IMF Stand Forgotten 

When Cash on the Line: Argentina Credit

By Eliana Raszewski 

Cristina Fernández de Kirchner en la ONU comparando al FMI con la FIFA

"Quiero decirle al FMI que esto no es un partido de fútbol sino la crisis financiera y económica más grave desde la década del treinta. Y que mi país no es un equipo de fútbol sino una nación soberana que toma sus decisiones de manera autónoma y que no va a aceptar presiones ni mucho menos amenazas de parte de ningún organismo internacional" afirmó la presidenta argentina...

Argentina, which the IMF censured for underreporting inflation less than three months ago after three warnings over the past two years, last week authorized the deposit of $400 million with the Washington-based lender to increase the nation’s access to emergency cash. The move will boost Argentina’s special drawing rights that currently total $3.2 billion and comes as reserves, Fernandez’s main source for bond payments, declined to a six-year low of $39.8 billion.

Fernandez, who has also criticized the IMF for causing the country’s record $95 billion default in 2001, is using the bank to bolster her dwindling supply of dollars as a decade-long legal dispute with holdout creditors and her increasing influence over the economy leaves Argentina as the world’s least creditworthy debtor nation based on swaps trading. With overseas borrowing costs at 13.92 percent, Argentina hasn’t sold bonds globally in over a decade, prompting Fernandez to tighten capital controls and ban most dollar purchases.

“They’re doing this because they’re worried, and the special drawing rights helps them have more liquidity,” Claudio Loser, a former IMF director who now heads research firm Centennial Group Latin America, said by telephone from Washington. “Once the drawing rights are approved, they can use the money practically immediately, like cash.”

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