Argentina’s move

BUENOS AIRES: Argentine ruling party presidential candidate Daniel Scioli defended the central bank’s control of the exchange rate on Saturday, saying it was necessary to avoid foreign exchange volatility.

Scioli’s comments came two days after his main rival said he would allow the peso to float freely and would welcome the resignation of the central bank chief.

“My vision is that we have to continue managing the exchange rate and preserve currency and financial stability so the development project has continuity,” Scioli said on Radio Mitre. “In any civilised country the central banks intervene in the currency,” Scioli, who has promised gradual change after eight years of leftist government, added.

The central bank controls the official exchange rate but a flourishing black market rate suggests the peso is overvalued.