Argentina: Caputo bows to the might of the IMF

And with a price tag of $57 billion, the cost to the IMF is substantial – it is the biggest loan ever made by the organization.

Caputo reportedly resigned in frustration at the IMF’s strict loan conditions, which prevent the central bank from intervening in the currency markets unless there is “extreme circumstances” (and then, surprisingly, the IMF defined that as lower than Ps44 to the dollar.) Caputo’s exit rams home how far president Mauricio Macri’s economic strategy has come off the rails. 

Luis Caputo

It was Caputo who managed the negotiations with the holdouts that enabled Argentina to return to the international markets.