President Mauricio Macri’s first 100 days in office have seen an impressive range of measures to put Argentina’s fragile balance of payments position on a more sustainable footing. By any reasonable yardstick the early days of his presidency must therefore be judged a resounding success. However, we suspect that fiscal and monetary policy will both need to be tightened further in the months ahead if Mr. Macri is to fully address the country’s macro imbalances and raise its sustainable growth rate. This is the key area to watch over the next 100 days.
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