The election of President Mauricio Macri may signal the start of a new era in Argentine energy policy and cooperation with the United States, but the new government still faces challenges to increasing oil and gas production and erasing energy subsidies.
As Latin American countries reassess their energy policies in light of lower oil prices, there is an opportunity to apply lessons learned from the US experience to enact regulations that mitigate environmental risks, strengthen public support, and attract investment.
As global oil prices collapsed over the last two years, regional governments have started to lose their leverage in the energy industry. To attract international investors, they must offer increasingly favorable terms, which means ceding more of their own control.
A conversation with Alfonso Prat Gay, Minister of Finance of Argentina
So far, Macri has been successful in attributing the social pain of the reforms to the gravity of the situation he inherited. Still, Argentina’s patience could run out before the economy starts growing again.
El 25 de mayo de 2016, el Diálogo Interamericano sostuvo un conversatorio con Elisa “Lilita” Carrió, diputada nacional Coalición Cívica para la Afirmación de un República Igualitaria (CC-ARI) para Buenos Aires, sobre el panorama congresal en Argentina.
Lisa Viscidi, director of the Energy, Climate Change & Extractive Industries Program, appeared on CGTN to discuss the reasons for the unprecedented blackout that affected all of Argentina and Uruguay and parts of Paraguay on June 16, how it affects Argentine President Mauricio Macri’s re-election campaign, and whether it could happen again.
Argentina’s turn to the IMF to relieve pressure on the peso carries significant political risks for the president.
Conversaciones con Diosdado Cabello, elecciones en Argentina y la visita de Giammattei a Estados Unidos
Michael Shifter, presidente del Diálogo Interamericano, participó en el programa Cuestión de Poder de NTN24 para tratar los temas de las negociaciones en la crisis venezolana, las elecciones en Argentina y la visita del presidente electo de Guatemala a Estados Unidos.
What is behind the slide in the Argentine peso, and what more can the central bank do to address the problem? Is Macri making the right move by seeking help from the IMF, or will he pay a political price at home for embracing the Washington-based lender? Is Argentina at risk of falling into a full-blown financial and economic crisis this year?
Will Macri’s economic package alleviate Argentina’s economic woes, and will they win him support ahead of the October presidential election?
Bruno Binetti, research fellow at Inter-American Dialogue, discusses the Argentine peso, economy and government as the nation receives a $50 billion credit line from the International Monetary Fund.
El presidente del Diálogo Interamericano, Michael Shifter, habló con Gustau Alegret del programa Cuestión de Poder de NTN24 sobre la situación actual en la región, la presión económica en muchos países y la crisis en Ecuador.
Once again, Argentina has become synonymous with crisis. The Argentine peso has already lost half of its value against the dollar this year, and the economy is projected to contract by at least 2 percent while inflation reaches 40 percent. Beleaguered President Mauricio Macri is asking the International Monetary Fund for additional assistant, only three months after finalizing a loan agreement. Not surprisingly, Macri’s domestic popularity has suffered, weakening his re-election prospects next year.
Each subsequent crisis makes it more difficult for the government to reform the economy without provoking a major social disruption. To escape its never-ending cycle of crises, however, the next president will have to do more than reform the economy; he will have to win back the trust of voters who have grown to expect the worst from their leaders.