Overview
- The government published Decrees 549 and 550 in the Boletín Oficial to approve a $550 million counter‑guarantee with the Inter‑American Development Bank and a $1.2 billion policy‑based guarantee with the World Bank.
- The decrees, signed by President Javier Milei, Economy Minister Luis Caputo and Chief of Cabinet Diego Santilli, authorize the Ministry of Economy and the Secretaría de Finanzas to sign final loan contracts and make non‑substantive adjustments.
- The BID guarantee will back PROSEJUS, a security and justice reform program aimed at reducing impunity for organized‑crime cases, while the World Bank PBG targets business‑climate reforms to spur private investment and job creation.
- The Central Bank issued an opinion, recorded in the decrees, saying the guarantees do not project immediate effects on Argentina's balance of payments, but the government plans to use them to obtain lower‑cost commercial credit and has authorization to seek up to $5 billion from international banks.
- The operations create contingent fiscal liabilities that only materialize if guarantees are executed, and they are being used as a debt‑management tool to reduce financing costs and cover sovereign maturities while reforms and commercial loan deals are completed.