June 25 (Reuters) – The International Monetary Fund is confident Argentina will keep paying what it owes the IMF, even as its own staff report describes repayment capacity as subject to exceptional risks.
“Argentina has made all of its payments to the fund, and we are confident that they will continue to do so. We don’t have any concerns there,” said Julie Kozack, director of the communications department at the IMF.
She pointed to the “important role” of international financial institutions and other multilateral development banks in support of a country’s financing strategies.
Last month, however, IMF staff flagged “exceptional risks” to Argentina’s repayment capacity.
“Argentina’s capacity to repay its obligations to the Fund remains subject to exceptional risks and contingent on its ability to strengthen reserve coverage and regain market access in a timely and sustainable manner,” IMF staff wrote in May.
“Argentina’s low level of liquid reserves continues to pose risks to its repayment capacity, especially given the very large near-term debt obligations and potential volatility ahead of the 2027 Presidential elections.”
Argentina faces near $23 billion in debt repayments, including to the IMF, in 2027.
(Reporting by Rodrigo Campos, Andrea Shalal and David Lawder)
