The Government approved by decree a US$500 million IDB loan

The government approved a US$500 million loan from the Inter-American Development Bank ( IDB ) to finance the "Macroeconomic Stability Support Program." According to the Libertarian administration's statement in the Official Gazette, the program's objective is to "strengthen the Argentine Republic's balance of payments, and its specific objective is to improve the monetary and exchange rate policy framework."

The $500 million disbursement will be made in a single payment and will be repaid over seven years , with a semiannual amortization schedule. Thus, Argentina will begin repaying the debt three years after receiving the money, with successive semiannual installments.

The official approval of the operation comes after the Central Bank of the Argentine Republic ( BCRA ) and the National Public Credit Office of the Ministry of Economy analyzed the conditions and issued their opinions. The regulations stated that the BCRA "issued a ruling on the impact on the Balance of Payments of a series of operations to be financed by the IDB and stated that the size of the operation under analysis 'implies a limited impact in macroeconomic terms on the flows of the international balance of payments ' and, therefore, concludes that said impact 'will be limited and consistent with the expected dynamics of external operations.'"

For its part, the economic portfolio agency reported that it "has no objections to the required financing, given that the financial cost of the reference loan, based on the available information and assumptions, is lower than what the Republic could obtain on the market ."

The last time the IDB approved a disbursement of funds for Argentina was at the end of March of this year, when they granted US$200 million for the reconstruction of Bahía Blanca after massive flooding. At that time, roads, houses, and streets were under water, and hundreds of people were missing for nearly two days.

IDB President Ilan Goldfajn expressed his support for the city after announcing the approval of the financing, stating, "We're with Bahía Blanca!" The assistance is part of the "Contingent Credit Facility for Natural Disaster and Public Health Emergencies (CCF)" program, the executive stated on social media.