By Vinod Sreeharsha
Argentina Banking Sector: Walk the line
Argentine banks have so far shrugged off the ill effects of increasing government heavy-handedness. How they withstand a darkening economic climate remains to be seen
When Argentina's president, Cristina Fernández de
Kirchner, sacked central bank governor Martin Redrado more than
two years ago for not following her orders to transfer reserves
to the Treasury, she intended for his successor to take a more
active, interventionist role.
Mercedes Marcó del Pont, Redrado's replacement, had
previously espoused a view of broadening the bank's remit - one
of the reasons she was picked for the job by Fernández
de Kirchner. As she assumed her new role, she continued to say
that in public.
A central bank official who joined around the same time said
then that Marcó del Pont would "have a more active role
than prior leaders did" and that during her tenure she would
pursue the "politics of economic development with social
To many, that sounded more appropriate for a development
bank than a central bank, and private bank executives...
Already have an account?
Subscribe now for unlimited access to all current and archive news, data and market analysis.
Take a free two-week trial now for the latest news, data and market analysis.