Argentine Economic Minister Sergio Massa will go to China next week in order to release more cash from the currency swap agreement, which may help the country's decline in currency Bievis before this year's election.
Bloomberg reported that according to the official itinerary released by the Argentine Ministry of Economic Affairs last Saturday (May 27), Massa will arrive in Shanghai on Tuesday (May 30), and then on Friday (June 2)Go to Beijing to meet with officials.
Argentine economists estimate that in the face of more than 100%of the inflation rate, the central bank of the country has no mobile cash reserves.As the official exchange rate of Argentine Peso has fallen by 25%this year, one of the last tools for the government to prevent the more serious depreciation of the government is Argentina's existing 130 billion yuan (about S $ 24.9 billion) exchange quota.
According to the itinerary announced by Argentina, Massa will discuss the "renewal and improvement" exchange quota with the President of the Bank of China Yi Gang.Although the money has entered the Argentine Central Bank reserves, there is actually only a part -about 5 billion US dollars (the same, about S $ 6.8 billion), which is allowed to pay for import bills or repay debts.Massa seeks to use a larger part of the funds.
Massa will also meet with China Treasury Secretary Liu Kun.A large Argentine delegation, including the Argentine central bank governor Miguel Pesce, will accompany Massa to visit China.
Argentina will hold a key primary election on August 13, and the election will be held on October 22.Massa is widely regarded as one of the presidential candidates by the outside world.
