Argentina election win eases tensions not challenges

Significance

The first-round victory may help expedite measures to tackle the economic crisis and in particular to start debt renegotiations with creditors. Fernandez’s transition team of four, one of whom will likely be named economy minister, are closer to him than to his vice-president-elect, former President Cristina Fernandez de Kirchner (CFK).

Impacts

• With its two most important figures defeated, Cambiemos may disintegrate.
• Fernandez’s stated commitment to reprogramming rather than writing down debt may prove unattainable.
• Talks with the IMF, and the Fund’s willingness to amend the terms of its stand-by agreement, will be key.