IMF: confident on Argentina repayment, even after staff flags exceptional risks

June 25 (Reuters) - The ‌International Monetary ​Fund ​is confident Argentina will keep paying what it owes the IMF, even ‌as its own staff report describes repayment ⁠capacity as subject to exceptional risks.

“Argentina has made ‌all of its payments ‌to the fund, and we are confident that they will continue to do so. ​We don't have any concerns there,” said Julie Kozack, director of the communications department ⁠at the IMF.

She pointed to the “important role” of international financial ​institutions and other multilateral development banks in support of a country’s financing strategies.

Last ​month, however, IMF staff ‌flagged “exceptional risks” to Argentina’s repayment capacity.

“Argentina’s capacity to repay its obligations to ⁠the Fund remains subject to exceptional risks and contingent on its ability to strengthen reserve coverage ⁠and regain market access in a timely and sustainable ​manner,” IMF staff wrote in May.

“Argentina’s low level of liquid reserves continues to pose risks to its ‌repayment capacity, especially given the very large near-term debt obligations and potential ‌volatility ahead of the 2027 Presidential elections.”

Argentina ⁠faces near $23 billion in ‌debt repayments, ​including to the IMF, in 2027.

(Reporting by Rodrigo Campos, Andrea Shalal and David ‌Lawder)

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