Argentina’s president-elect, Alberto Fernandez, has renounced the country’s $11 billion IMF loans tranches.
“What I want is to stop asking (for money), and that they let me pay [back the loan],” Fernandez said in a radio interview last month.
With his presidency beginning on the 10th of this month, Fernandez is Argentina’s return to Peronism. Following populist Peronist ideals, he vowed to “try to revive the economy to pay and solve the debt problem sensibly.”
Following the loan, current president, centre-right Mauricio Macri would implement austerity measures to fix Argentina’s economy, but they would be unsuccessful.
During the 2017 midterm elections, where Macri was victorious, the country’s debt was at 38% of the GDP. Its debt currently exceeds 90% of the GDP.
“I have an enormous problem. And I’m going to ask for $11 billion more? “It’s like a guy who drinks a lot and is a little drunk. The solution is not to continue drinking. The solution is to stop drinking,” Fernandez vocalised.
His election victory saw a drop in the peso’s value, with fears of a debt default of the country’s $57b loan package, borrowed by President Macri.
“I don’t want to sign agreements that I’m not going to fulfil. Those agreements were already signed by Macri. He signed one, two, three and fulfilled none,” said Fernandez.
“We want them not to lend us more money, but to let us develop. Let’s discuss the time I need to develop, but don’t give me more money.”
In September, the IMF suspended the release of $5.4b disbursement, because Macri had failed to meet inflation targets.
Addressing fears of a loan default, Fernandez promised not to default on the $46b loan repayment. Under his presidency, he promised to renegotiate the terms of the loan, promising voters that their bank deposits would be safe.
“I try to be a serious person. A person who tells you ‘I’m going to do such and such a thing, and you know he’s going to do it,” Fernandez stated.
Fernandez’s promises follow Bolivia’s ousted President, Evo Morales’ call to also regain financial independence for his country.
Speaking in Mexico, a day after he fled a military coup against him, Morales said: “We freed ourself of IMF and had big plans on exports.”
“The OAS [Organization of American States] is in the service of the North American empire,” he continued, blaming the USA for a strong desire to retain imperialist power over resource-rich Bolivia.
Socialist Morales accused the coup plotters of not accepting “the nationalization of natural resources.”
Capitalism v. Socialism
The fight for social justice in Bolivia and Argentina are ideals embedded in the politics of the region, a direct antithesis to the USAs’ modern and postmodern capitalist imperialism.
The postmodern, neoliberal political and economic policies of the IMF and the World Bank are in direct opposition to the populist governance of Morales, Fernandez and Venezuela’s former president, Hugo Chavez.
In 1823, US Secretary of State, and future-president, John Quincy Adams, would pen most of the Monroe Doctrine, a policy created by then-president, James Monroe.
It stated: “The occasion has been judged proper for asserting, as a principle in which the rights and interests of the United States are involved, that the American continents, by the free and independent condition which they have assumed and maintain, are henceforth not to be considered as subjects for future colonization by any European powers.
“If we look to the comparative strength and resources of Spain and those new Governments, and their distance from each other, it must be obvious that she can never subdue them.”
Following The Monroe Doctrine, the US would continue to subdue Latin America, in the place of Europe.
Sixty-one years later, Berlin 1884 would take place, solidifying the New World Order. Present at the international conference were representatives from every European country (minus Switzerland), the USA and the Ottoman Empire. The conference would set Africa’s political and economic trajectory as a continent for foreign conquest and domination.
To retain power over Latin America and Africa, the US’ militarised power and the IMF’s monetized power are used as a double-edged sword over both resource-rich regions. Latin America need not be colonized when it can be neocolonised.