The International Monetary Fund urged Argentina's government to stick with its economic program as the best way to lower country risk, laying out four steps to turn stabilization gains into growth and jobs. The call comes as local analysts warn of a possible technical recession. The International Monetary Fund on Thursday urged Argentina's government to “stay the course” with its economic program, arguing it remains the most reliable way to bring down the country's risk premium.

The Fund laid out four specific measures it says could help convert the stabilization achieved so far into sustained growth and job creation. The recommendations landed as domestic analysts increasingly warn that Argentina could be sliding into a technical recession, even as President Javier Milei's government points to falling inflation and rebuilt foreign reserves as evidence its shock therapy is working. The Fund's message effectively backs the broad direction of that program while pressing for faster progress on the structural side.

Argentina has leaned heavily on the Fund throughout Milei's presidency, and its assessments carry outsized weight with investors who are still pricing in doubts about the economy's ability to grow without reigniting inflation or currency pressure. The latest guidance suggests the Fund sees the stabilization phase as largely complete, with growth now the harder test ahead.