Argentina will register an “important” financial surplus in October, in line with the economic program it is carrying out the country to leave behind years of deficits in its public accounts, Economy Minister Luis Caputo said on Tuesday.
In a presentation at the Annual Conference of the Latin American Economic Research Foundation, Fiel,Caputo maintained that the third largest economy in Latin America is recovering and confirmed that in 2025 it will grow 5%, as planned in its budget project.
“In October we will once again have a significant financial surplus. Nobody doubts the fiscal commitment that this Government has,” Caputo said.
“We have a Budget that says that expenses will have to be adjusted to income. We will not be able to spend more than what is collected, like in our homes,” he added.
Since taking office in December, libertarian President Javier Milei has applied a strict adjustment plan to reduce the fiscal deficit and slow down an annual inflation rate of more than 200%.
In the latest report, Argentina said that in the first nine months of the year, the country accumulated a primary surplus of approximately 1.7% of GDP and a financial surplus, which includes debt payments, of almost 0.4% of GDP.
The orthodox policy, which involved a sharp reduction in spending, helped slow the inflation rate, which, when Milei took office in December, reached 25% monthly.
The National Institute of Statistics and Censuses, Indec, will release on Tuesday afternoon the inflation index, which according to the median of a Reuters survey would have registered a variation of 3.0% in October, after recording 4.2% in August and 3.5% in September.
“We have no doubt that the good results will continue,” said Caputo.. “Today there is much more enthusiasm because the disinflation process continues and the economy today is already recovering strongly.
