In an interview with Bloomberg Television, President Mauricio Macri assured that his administration has begun reducing inflation by not “controlling prices” and avoiding establishing fixed exchange rates. “I’m certain that in 2019 we’ll have single-digit inflation,” said Macri, who anticipated that inflation will also decelerate next year.
When consulted if he thought that the economy had “turned the corner,” Macri said he did, and that the economy has entered a path of growth that will continue throughout the years. “Things are improving. Investment is growing in different sectors. What we are achieving is solid,” he assured.
The President went on to argue that opening up the country after years of isolation by, for example, slashing subsidies, has “produced a deep and constant cultural change.” “We have an independent Central Bank, a statistics agency that shows real figures every month, or every semester. I keep telling the citizens that we have to believe in our strength,” he argued.
Moreover, he anticipated that his administration’s first goal after October’s midterms will be “to get Congress to pass next year’s budget bill,” and them move on to implement the reform it intends to, on which the government is “moving quickly.”
“The government will send to the lawmakers a tax reform.” Macri said. He continued: “The problem is that we’re facing a huge deficit but still I believe in many cases reducing taxes may increase the fiscal revenues because we have already reached the productivity limits of taxes,” Macri said. “I really believe that can be a win-win situation and we’re betting on that,” he said when consulted about the issue. Regarding the potential reform to the tax code, Macri argued that it will be “a challenge” but that “talks with union leaders are going well.”