Latin America

Argentina's Cabinet Chief Says Harvest Should Bring Economic Relief

By Reuters
|
July 21, 2023, at 5:03 p.m.

By Nicolás Misculin

BUENOS AIRES (Reuters) - Argentina's financial crisis, which has been marked by exchange rate volatility and soaring inflation, should start abating in November and December, with large foreign currency inflows from the wheat harvest, cabinet chief Agustin Rossi told Reuters on Friday.

Argentina's prolonged financial crisis has been aggravated by a ferocious drought that reduced crucial agricultural exports by an estimated $20 billion this year.

"This situation ends in November, December of this year," Rossi, who is also a vice-presidential candidate in October elections, told Reuters from his office at the Casa Rosada presidential palace in Buenos Aires.

"Next year you will not have a drought, you will have savings of $4 billion because you will have the first stage of the Nestor Kirchner gas pipeline (which will transport natural gas from the Vaca Muerta shale formation) in operation," Rossi said.

"This will lead to a favorable trade balance and recover reserves, and imply a more controlled exchange rate. This immediately lowers inflation and recovers the purchasing power of wages."

More:
https://www.usnews.com/news/world/articles/2023-07-21/argentinas-cabinet-chief-says-harvest-should-bring-economic-relief

(I remember feeling discouraged, thinking it might arrive so late the government could be back in the filthy hands of the fascists agaian!)