BUENOS AIRES: Argentina's combative price watchdog, Guillermo Moreno, will have an expanded role in President Cristina Fernandez's new government, two leading newspapers reported on Saturday.
Fernandez will be sworn in for a second four-year term at midday on Saturday. She announced minimal changes to her cabinet of ministers but did not confirm whether Moreno would stay on as domestic commerce secretary.
Pagina 12 and La Nacion newspapers reported that Moreno will not only stay on, he will formally take over tasks carried out by the Foreign Ministry and Industry Ministry, including monitoring of trade and foreign currency flows.
In effect, this is the formal recognition of what Moreno already did as the government's "bad cop." He is known for pressuring business leaders behind the scenes to lower prices, increase exports or delay dollar purchases.
"Moreno will have a mega-secretariat with powers that are practically those of a ministry," La Nacion cited unnamed government sources as saying.
Argentina's economy is growing at nearly 9 percent a year but a sharp slowdown is foreseen next year. The government has already taken protectionist measures to shore up its shrinking trade surplus and it imposed currency controls in late October to stem capital flight and protect its foreign reserves.
Moreno is technically a subordinate of the economy minister. But in practice, he is seen as having a direct line to the president and he often runs roughshod over ministers.
He gained prominence, or notoriety, as the enforcer of price accords and export curbs aimed at taming consumer inflation. Official inflation data runs at about 10 percent a year, while private estimates range from 20 percent to 25 percent.
Moreno's influence grew under Fernandez. He has become a key figure in making companies agree to match their imports with exports and he was also said to be involved in a crackdown on black-market currency traders.
He does not speak to the press.La Nacion said Moreno also will have expanded powers over energy trade in his new role, while Pagina 12 said he will take over tasks previously assigned to the Agriculture Ministry.
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