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Spectre of hyper-inflation continues to haunt Argentinian economy
The underlying structural problems of the republic’s economy are rooted in a neocolonial and neoliberal world order, argues BERT SCHOUWENBURG

THE abrupt resignation of economy minister Martin Guzman on July 2 was the most significant casualty to date of the power struggle between Argentinian President Alberto Fernandez and his deputy Cristina Fernandez de Kirchner and their respective supporters in the ruling Frente de Todos coalition government. 

Guzman was the architect of a restructure of the remaining $44 billion of a $55bn International Monetary Fund loan, obtained in dubious circumstances by the previous corrupt government of Mauricio Macri in 2018. 

Critics say that the price of the restructure is too high. In return for postponing repayment until 2026, Argentina must decrease subsidies on public services, cut spending, reduce monetary emissions and increase interest rates as a means of combating the chronic inflation that has long afflicted the country. 

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