Argentine Economy Minister Jorge Remes Lenicov has resigned amid ongoing protests over the state of the economy, which is nearing financial collapse. 

There are reports the entire cabinet might resign as well. 

Mr. Remes stepped down Tuesday after lawmakers refused to consider his new economic plan that called for bank deposits to be converted into government bonds. The plan was designed to prevent a collapse of the banking system, which is losing millions of dollars daily. 

The government has tried to impose limits on bank withdrawals. But the restrictions have starved the economy and angered depositors, some of whom surrounded the congressional building Tuesday to protest Mr. Remes' proposal. 

The turmoil also coincides with a government-imposed banking holiday that began Monday to stop a run on the banks and the massive flight of capital out of the country. 

For the past four years, Argentina has been mired in a recession that also has left it with $141-billion in public debt. 

Argentina has been seeking upwards of $20-billion in aid from institutions like the International Monetary Fund. The IMF withheld crucial aid to Argentina in December, saying the government had failed to control spending. 

The IMF also says Argentina must devise a viable economic recovery plan to qualify for renewed assistance. 

Some information for this report provided by AP and AFP.

Email this article to a friend.
Printer Friendly Version