Join +750K new investors every month who copy stock picks from billionaire's portfoliosSign Up Free

Argentina's Caputo announces peso devalution to 800 per dollar, spending cuts

Published 12/12/2023, 05:28 PM
Updated 12/12/2023, 05:41 PM
© Reuters. FILE PHOTO: Argentina's Minister of Economy Luis Caputo speaks to the press, one day after the inauguration of Argentina's President Javier Milei, in Buenos Aires, Argentina, December 11, 2023. REUTERS/Agustin Marcarian/File Photo
USD/ARS
-

BUENOS AIRES (Reuters) - Argentine Economy Minister Luis Caputo laid out the new government's economic shock plan on Tuesday, targeting public spending and a sharp currency devaluation as it looks to defuse the country's worst economic crisis in decades.

© Reuters. FILE PHOTO: Argentina's Minister of Economy Luis Caputo speaks to the press, one day after the inauguration of Argentina's President Javier Milei, in Buenos Aires, Argentina, December 11, 2023. REUTERS/Agustin Marcarian/File Photo

In a prerecorded announcement Caputo said the peso would be weakened to around 800 per dollar from some 365 now, discretionary transfers to the provinces would be cut to a minimum and public work tenders would be halted.

Caputo added that the government of libertarian President Javier Milei would reduce energy and transport subisidies, though would double social spending for the poorest, a bid to avoid a rise in povertry already at above 40%.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.