Posted 4/11/2024, 5:05:47 PM
Argentina Cuts Interest Rates for Third Time Under Milei Despite High Inflation and IMF Guidance
- Argentina's central bank cut its main interest rate to 70% from 80%, the third rate cut since President Javier Milei took office
- The rate cuts come as investors bet on further slowing of Argentina's high inflation rate
- Annual inflation in Argentina is running at 276%, a three-decade high
- The rate cut clashes with recent IMF guidance calling for Argentina to keep rates above inflation
- Additional measures include ending a credit swap with the BIS and increasing reserve requirements for money market funds