The International Monetary Fund (IMF) executive board approved a payout of nearly $800 million for Argentina on Thursday, recognizing the country's adherence to its program of economic reforms under President Javier Milei. Milei, a libertarian who identifies as an "anarcho-capitalist," has pledged to reverse Argentina's economic decline by eliminating the budget deficit and significantly reducing public spending to combat the country's inflation, which stands at over 275 percent annually.

The IMF stated that Argentina's program is "firmly on track" and that all performance criteria for the period ending March 2024 had been met. The approved disbursement of approximately $793 million brings the total funds released under the current IMF program to over $41 billion. 

The IMF emphasized the need for Argentina to maintain its progress by enhancing the quality of fiscal adjustments, advancing its monetary and foreign exchange policy frameworks, and continuing structural reforms. Additionally, the IMF noted the importance of supporting vulnerable populations, garnering broad political backing, and ensuring flexible policy implementation.

President Milei celebrated the IMF's decision on social media, noting the ongoing positive developments. The approval came alongside a report from Argentina's INDEC statistics agency that the country's inflation rate dropped to 4.2 percent in May, the lowest in two and a half years.