Identifier
Created
Classification
Origin
06MONTEVIDEO309
2006-03-31 18:18:00
UNCLASSIFIED
Embassy Montevideo
Cable title:
GOU MAKES EARLY PAYMENT TO IMF AND GETS UNUSUALLY
how-toVZCZCXYZ0000 RR RUEHWEB DE RUEHMN #0309 0901818 ZNR UUUUU ZZH R 311818Z MAR 06 FM AMEMBASSY MONTEVIDEO TO RUEHC/SECSTATE WASHDC 5615 INFO RUCNMER/MERCOSUR COLLECTIVE RUCPDOC/DEPT OF COMMERCE WASHDC RUEATRS/DEPT OF TREASURY WASHDC RHEHNSC/NSC WASHDC
,UNCLAS MONTEVIDEO 000309
SIPDIS
SIPDIS
STATE FOR WHA/BSC AND EB
DEPT PASS USTR
TREASURY FOR OASIA FOR DOUGLASS
USDOC FOR ITA/MAC/WBASTIAN
E.O. 12958: N/A
TAGS: ECON EINV UY
SUBJECT: GOU MAKES EARLY PAYMENT TO IMF AND GETS UNUSUALLY
WARM KUDOS FROM THE FUND
,UNCLAS MONTEVIDEO 000309
SIPDIS
SIPDIS
STATE FOR WHA/BSC AND EB
DEPT PASS USTR
TREASURY FOR OASIA FOR DOUGLASS
USDOC FOR ITA/MAC/WBASTIAN
E.O. 12958: N/A
TAGS: ECON EINV UY
SUBJECT: GOU MAKES EARLY PAYMENT TO IMF AND GETS UNUSUALLY
WARM KUDOS FROM THE FUND
1. On March 30, Minister of Economy Astori and IMF's
Deputy Managing Director Carstens announced that the GOU
would make an early payment of its debt with the IMF
(principal and interests) maturing in 2006. International
markets celebrated the $625 million operation by raising
their demand for Uruguayan sovereign debt.
2. The GOU financed the operation, equivalent to about one-
fourth of its debt, with some of the revenues from its
2005/2006 international issuances for over $2 billion.
Astori estimated that, by moving forward its due payments
to the IMF, the World Bank and the Inter-American
Development Bank, the GOU has so far saved as much as $24
million in interest. He stated that the GOU is
administering its debt with a three-pronged strategy:
swapping debt with IFIs for sovereign debt extending its
maturity and switching ""expensive"" for ""cheap"" debt.
3. Carstens, who traveled especially for the occasion,
stated during the joint press conference that Uruguay's
program with the IMF has been ""extremely successful"", and
that the GOU ""has met all of its program targets"". He
highly praised the GOU's economic management and made
numerous positive, almost effusive remarks, such as ""we
are delighted to be associated with this administration's
achievements"". In his closing remarks, Carstens stated he
wanted to ""publicly congratulate the President, the
Minister of the Economy, the Central Bank Governor, and
their staff for their excellent job which, more than
pleasing us at the IMF, I believe is pleasing the
Uruguayans.""
NEALON
SIPDIS
SIPDIS
STATE FOR WHA/BSC AND EB
DEPT PASS USTR
TREASURY FOR OASIA FOR DOUGLASS
USDOC FOR ITA/MAC/WBASTIAN
E.O. 12958: N/A
TAGS: ECON EINV UY
SUBJECT: GOU MAKES EARLY PAYMENT TO IMF AND GETS UNUSUALLY
WARM KUDOS FROM THE FUND
1. On March 30, Minister of Economy Astori and IMF's
Deputy Managing Director Carstens announced that the GOU
would make an early payment of its debt with the IMF
(principal and interests) maturing in 2006. International
markets celebrated the $625 million operation by raising
their demand for Uruguayan sovereign debt.
2. The GOU financed the operation, equivalent to about one-
fourth of its debt, with some of the revenues from its
2005/2006 international issuances for over $2 billion.
Astori estimated that, by moving forward its due payments
to the IMF, the World Bank and the Inter-American
Development Bank, the GOU has so far saved as much as $24
million in interest. He stated that the GOU is
administering its debt with a three-pronged strategy:
swapping debt with IFIs for sovereign debt extending its
maturity and switching ""expensive"" for ""cheap"" debt.
3. Carstens, who traveled especially for the occasion,
stated during the joint press conference that Uruguay's
program with the IMF has been ""extremely successful"", and
that the GOU ""has met all of its program targets"". He
highly praised the GOU's economic management and made
numerous positive, almost effusive remarks, such as ""we
are delighted to be associated with this administration's
achievements"". In his closing remarks, Carstens stated he
wanted to ""publicly congratulate the President, the
Minister of the Economy, the Central Bank Governor, and
their staff for their excellent job which, more than
pleasing us at the IMF, I believe is pleasing the
Uruguayans.""
NEALON