Xavier Miley meets with the President of the World Bank and the arrival of loans accelerates

President of the nation, xavier mileyMet with the head of the World Bank this Monday, Ajay BangaDuring the first day of the G20 Leaders Summit in Brazil. Finance Minister also participated in the meetingLouis Caputo, General Secretary of the Presidency, Kareena Miley and Finance Secretary, Pablo Quirno.

This is not the first time this year that Miley and Banga have seen each other in person. Last June, within the framework of the G7 leaders’ summit in Italy, the two held a private meeting in which they exchanged views on the development of the world economy. On that occasion, the President of the World Bank highlighted the significant reduction in inflation, and congratulated it for the significant progress in reducing the fiscal deficit.

According to official sources, progress may be made in this regard this week. US$2,000 million loan The World Bank agreed with Argentina in October, as the organization quickly announced. That amount has been divided into four different projects. It is expected that two of them, referring to transport subsidies and rationalization of electricity tariffs, for a total of USD 500 million, could be discussed at the World Bank Board of Directors this week. If approved, Argentina can count on 1,000 million US dollars In the short term.

In this way, with the support of the World Bank, Argentina can advance the institutional strengthening of the secretariats in charge of subsidy reduction programs for basic public services in the metropolitan area of ​​Buenos Aires.

Subsequently, projects within the scope of the federal commitment to literacy and the National Literacy Plan and nutrition programs to help mothers in the first thousand days of children’s life will also be presented to the Board.

Miley’s agenda continues tomorrow with a series of bilateral meetings, headlined by a meeting with the President of the People’s Republic of China. Xi JinpingNational President will also meet the Director of International Monetary Fund Kristalina GeorgievaPrime Minister of India, Narendra Modi and General Manager of Enel, Flavio Cattaneo.

Before the meeting with Banga, the Argentine delegation signed a Memorandum of Understanding (MOU) with Brazil to natural gas Of dead cow The gas can be reached to the neighboring country through development of pipeline infrastructure. Shipments will begin with 2 million cubic meters per day in 2025 and exports are expected to reach 30 million per day in five years.

The signature was in charge of the Minister of Economy, luis caputoand its Brazilian mines and energy pair, Alexander Silvera. “A memorandum of understanding has been signed with the aim of discussing the infrastructure necessary for the export of Argentine gas from Vaca Muerta to Brazil. “For this purpose, representatives of both countries have been appointed to a joint group that will analyze options to reach exports of 30 million cubic meters of natural gas per day over 5 years,” the Economy Ministry explained.

“We want to increase the supply of gas in Brazil and consequently reduce the price. We need to treat gas as a transitional energy, increase volumes to bring down the price and re-industrialize Brazil, creating more opportunities for our people,” Silveira said in a post by Ax, which Caputo and him signing the MOU. Related Teams.

For Argentina this will be a unique possibility to generate foreign exchange in the face of a heavy schedule of debt maturities in the coming years and balance the trade balance which is now in deficit. For Brazilians this could mean the possibility of cheap energy and competitively priced fertilizer production to supply growing industrial demand in the south.