BUENOS AIRES (Reuters) - The World Bank and the Inter-American Development Bank (IDB) will provide Argentina with funds totaling over $1 billion, the South American nation's economy ministry said on Wednesday, adding these should go toward development and energy projects.
The move comes as cash-strapped Argentina battles to rework its debts and comply with financing programs with other international financial bodies, such as a $44 billion loan program with the International Monetary Fund (IMF).
Argentina's economy ministry said the World Bank was giving $900 million in financing for development projects in clean energy, health care and climate resilient infrastructure.
The country, along with Uruguay, was also awarded with a $400 million credit program from IDB to improve the supplies at the Salto Grande Hydroelectric Complex and extend the facility's "useful" lifespan, the ministry added in another statement.
The funds come as Argentina faces a major challenge to bring down a 100%-plus inflation rate, replenish scarce foreign currency reserves and alleviate social issues including four-in-ten people living in poverty.