Brazil-IMF deal not seen Tuesday, IMF's Loser says
Reuters, Monday, October 05, 1998 at 14:14
WASHINGTON, Oct 5 (Reuters) - An IMF financial support
package for Brazil will not be announced by Tuesday and may
take a week or so, Claudio Loser, director of the International
Monetary Fund's Western Hemisphere Department, said on Monday.
"It will not be tomorrow, we are talking about the next
week or so," Loser told reporters, adding that no
"horse-trading" was taking place between the Brazilian
government and IMF authorities to decide the contents of the
government's upcoming fiscal package.
"I am very optimistic...that they have confronted this
difficult situation (and it) has focused their minds very
clearly," Loser added.
"We have never had to tell them what has to be done. They
understand very clearly...that they have to deepen the process
of fiscal reform."
President Fernando Henrique Cardoso, who appeared to have
won an outright victory on Sunday in his reelection bid, has
pledged an austere fiscal plan to defend Latin America's
economic powerhouse from the effects of global financial
turmoil.
Brazilian officials are in Washington to discuss an
International Monetary Fund financing package to support
Cardoso's fiscal plan. Central Bank President Gustavo Franco
said on Monday that Cardoso would give details of the fiscal
plan in an address to the Brazilian people that could take
place as early as Tuesday.
washington.economic.newsroom@reuters.com))
Copyright 1998, Reuters News Service |
