MAS Condemns Bolivia's IMF Loan

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The presidential candidate of the Movement Towards Socialism (MAS), Luis Arce Catacora, stated on Sunday that the decree to open the door for a $ 327 million credit from the International Monetary Fund (IMF ) shows that the Government is lying to the Bolivian people.



“They have lied to us again because the government authorities said that they wanted to use the money to help fight coronavirus, but when you analyze the Supreme Decree, it is evident that this isn’t true, because the loan from the IMF will go to pay off the fiscal deficit and that of the balance of payments, ”said Arce in an interview with Radio San Gabriel.



Arce says this is proof of his earlier warnings about the conditions of the IMF loan. In particular the requirement to reduce the fiscal deficit to subsequently make the exchange rate more flexible, which in turn would lead to devaluations of the national currency after the quarantine.



“When one observes the spirit of this decree, it precisely points out that most of these new resources will be destined to pay off the balance of payments and the fiscal deficit; and the smallest part would go, supposedly, to the subject of health and the fight against the coronavirus. That is to say, they have lied to us ”, he remarked.



Furthermore, Arce points out that the regime did not forward all the documents relating to the loan to the Legislative Assembly, “because they were trying to hide details and lie to the people."



"If this loan is approved, there will be a currency devaluation and public spending cuts, at a time when the country needs to have an injection of resources through public investment to reactivate and rebuild the Bolivian economy”.



In his opinion, the effects of the IMF loan are "nefarious" because Bolivian economic policy would be "mortgaged" for a loan of 327 million dollars.


Visto 491 veces Modificado por última vez en Domingo, 28 Junio 2020 21:12