Argentine President Javier Milei Pushes IMF Deal as Crypto Scandal Sparks Political Turmoil

Argentine President Javier Milei indicated that a new agreement with the International Monetary Fund (IMF) is nearing completion, using his annual address to Congress to emphasize progress on his economic reforms.

The libertarian leader, who has faced mounting political challenges, sought to reassure the public and lawmakers about his administration’s fiscal strategy.

Milei told legislators that he would soon request their support for the pending IMF deal, though he did not provide details on its terms.

“I want to announce that in the coming days I will request that Congress supports the government in this new agreement with the International Monetary Fund,” he stated.

Milei Signals Imminent IMF Deal Amid Economic Reforms

A key aspect of the anticipated agreement, according to Milei, is a shift toward a “more free and efficient” currency framework. He signaled plans to phase out currency and capital controls, which have hindered foreign investment since late 2019.

Additionally, Milei said the IMF funds would help Argentina’s Treasury pay down central bank debt, aiming to stabilize the country’s monetary system.

While IMF discussions had shown limited progress in Milei’s first year, negotiations appear to be accelerating in 2025. The IMF’s First Deputy Managing Director, Gita Gopinath, recently stated on social media that talks were “making very good progress.”

Argentina’s President Faces Political Turmoil Over Crypto Scandal

Milei’s address came amid a growing controversy over his involvement with a cryptocurrency project called LIBRA. The digital asset, which he promoted on social media, saw its value surge before collapsing, leading to over 100 lawsuits and demands for impeachment from political opponents.

The situation has also drawn scrutiny toward his sister and close advisor, Karina Milei, who allegedly facilitated meetings between Milei and figures linked to the cryptocurrency.

The opposition has seized on the scandal, accusing Milei of misleading investors. The president, however, has denied any misconduct, maintaining that he had no role in influencing the market or causing financial losses for his supporters.

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