Argentina's IMF-backed reforms push for tax and pension changes amid improving economy

The International Monetary Fund (IMF) has reaffirmed its support for President Javier Milei’s economic programme, noting significant macro‑economic gains such as inflation falling from around 200 % in 2023 to about 30 % now, a fiscal deficit reduced by five percentage points of GDP, consecutive primary surpluses and poverty dropping from roughly 50 % to under 30 %. The IMF highlighted the central bank’s foreign‑exchange purchases, which have brought reserves close to the $8 billion target agreed in the latest programme review.

At the same time, IMF spokesperson Julie Kozack urged Argentina to pursue a comprehensive tax reform to simplify the system and broaden the fiscal base, and to overhaul the pension framework to ensure long‑term sustainability. Domestic analysts echo the need for deeper structural changes, emphasizing that lasting growth will require a diversified industrial matrix, stronger export earnings and restored confidence in the peso.

The IMF’s assessment underscores both the progress achieved and the reforms still required to cement fiscal stability and spur inclusive development in Argentina.