Economist Martin Redrado analyzed the situation of the dollar until recent growth, which he starred this week, and said that the government has a “central problem” in a monetary policy that can lead to an exchange of uncertainty.
For his part, he referred to the statements of Minister Luis Caputo about the value of the currency and where he challenged those who consider the exchange delay: “Buy, do not miss it, champion.”
“Always in times of tension it is best to do and say as little as possible, let the Central Bank fulfill its monetary and financial stability and speak as little as possible,” the former former organization said.
“That is, to talk with specific actions, to work in the current market, in future markets, buying names, but the power of action is better than the power of the word, the markets believe in actions,” he added.
Plan the dollar: what is the “central problem” that the government must solve in accordance with Redrado
In the Radio Miter dialogue, Redrado noted that “in the Argentinean currency policy there is a central problem that is a lack of a reservation.” This indicator, according to him, is the key to encountering future metabolic tension.
“When someone puts these tense circumstances, a person looks at the Central Bank to see how many dollars they have, and, unfortunately, when someone makes how many optimal reserves you have to have, they are very far from this,” he warned.
Before increasing the dollar, Redrado said that “in the Argentine currency policy there is a central problem, which is a lack of a reservation.”
He explained that, according to the calculations of the capital fund, the optimal level of reservations, which the Central Bank should deal with any volatility in the exchange market, and international obligations amount to $ 47,000 million.
However, today, discounting an exchange with China and lace deposits in dollars, liquid reserves do not exceed 25,000 million. “We are 22,000 million below what the Central Bank needs,” he warned.
For Redrado, “Argentina needs more investment dollars and less financial dollars.” “Financial dollars are very unstable, they enter and leave, and then, to give an exchange, Argentina must have more investments and export dollars,” he concluded.
