Argentina’s central bank sold on net $1.9 billion in March, the worst figure since October 2019 and a clear indicator of the cost behind propping up the peso. The central bank’s losses are provoking elaborate government measures to buy time and boost reserves before a presidential election in October. Economy Minister Sergio Massa is inaugurating new exchange rates this week to encourage exporters to boost sales abroad. The temporary exchange rates — expected to be higher than the overvalued off
(Bloomberg) — Argentina’s central bank sold on net $1.9 billion in March, the worst figure since October 2019 and a clear indicator of the cost behind propping up the peso. The central bank’s losses are provoking elaborate government measures to buy time and boost reserves before a presidential election in October. Economy Minister Sergio Massa is inaugurating new exchange rates this week to encourage exporters to boost sales abroad. The temporary exchange rates — expected to be higher than the overvalued official rate — are one way the government hopes to shore up the central bank’s dwindling stockpile of cash.
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