IMF bumps up Argentina bailout package to $57b

The International Monetary Fund agreed on Wednesday to boost its crisis loan package aimed at restoring confidence in Argentina's struggling economy by 14 percent to $57.1 billion.

The agreement "will allow our country to leave behind the turbulent path of recent months," said Argentina's Finance Minister Nicolas Dujovne during a press conference with IMF Managing Director Christine Lagarde, on the sidelines of the United Nations General Assembly in New York.

Lagarde said the aim of the program was to help Argentina "tackle the challenges it faces" and support the "most vulnerable people in society."

Argentina originally secured a $50 billion loan back in June, when an initial $15 billion tranche was handed over.

However, last month, President Mauricio Macri revealed he had asked for an accelerated disbursement of the remaining $35 billion, with another $3 billion not due until November and the remainder over the next three years.

The new deal "front loads IMF financing," the Fund said in a statement, increasing by $19 billion the amount due to be made available up to the end of 2019: a total of $36.2 billion, according to Argentina's finance ministry.

The ministry said that part of the agreement, which needs to be approved by the IMF's Executive Board, included a commitment to maintain "spending on social assistance... above 1.2 percent of gross domestic product" in order to "protect the most vulnerable sectors."

But the news was met with scorn on the streets of Buenos Aires.

"We're getting more in debt and not correcting our mistakes. We're spending more than we can," said 57-year-old Daniel Pacheco, who works for a telephone company.

"Nothing will change because it's the same politicians as always."

Pablo Gallo, a 42-year-old lawyer, said "any agreement with the IMF" is a bad idea "for a country that wants independence."