93726

                                            The Argentine Republic

                                 Youth Employment Support Project

                                              Chair Summary*

                                               January 15, 2015

       The Executive Directors approved the loan in the amount of US$ 425 million to the
Argentine Republic for the Youth Employment Support Project on the terms set out in the
President’s Memorandum. The Minutes will reflect that Ms. Aviel and Ms. Hines wished to be
recorded as opposed.

        Directors appreciated that the project is aligned with both the World Bank Group’s new
Country Partnership Strategy and the Government of Argentina’s priorities. They underscored the
importance of continued targeted engagement with Argentina to promote inclusion and equality in
line with the World Bank Group twin goals of eliminating extreme poverty and boosting shared
prosperity. Directors highlighted the critical importance of the macro-economic policy setting for
Argentina’s economic performance and encouraged the authorities to continue normalizing
relationships with the IMF and the country’s private creditors.

        Directors supported the project’s development objective to increase youth employability.
In particular, they highlighted the importance of the program’s attention to gender. While
Directors valued the different actions supported by the project, they noted that to achieve strong
employment outcomes, increased labor demand is also necessary, which in turn depends on overall
economic performance, as defined by factors such as macroeconomic policies, global economic
trends, private sector development, and investor confidence.

       Directors acknowledged the multidimensional approach to youth employment support
adopted by the supported program, recognizing the diversity in program’s participants. Also,
proactive outreach and the use of incentives were highlighted as ways to increase effectiveness of
the program. Looking ahead, the program’s sustainability was also underscored. Finally,
Directors highlighted the importance of sharing the lessons learned from this program to other
countries facing similar challenges.


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  This summary is not an approved record.