The sizeable fiscal squeeze unveiled in Argentina’s draft 2018 budget is a step in the right direction, but it would only reverse this year’s loosening of fiscal policy ahead of October’s legislative elections. The budget deficit will remain uncomfortably large next year, and policymakers will continue to rely on high inflation and the confidence of investors to keep the public debt ratio under control.
Subscriber content
Read this in full, free
Start a free trial and use one of your 10 free starter credits to unlock this piece.