News of default

DEBT RESTRUCTURING TALKS

Markets rally on hopes debt talks are ‘too close to fail’

25-07-2020 09:32 Three largest creditor groups join forces in negotiations, rejecting government's "final" offer and submitting their own counter proposal.

PROFILE

Guzmán takes on Wall Street

25-07-2020 08:01 Argentina’s Stiglitz-groomed debt chief has taken on a task many would have turned down. And as talks with bondholders enter a crucial stage, the stakes are higher than ever.

UK LAWSUIT

Argentina loses bid to throw out US$738-million hedge-fund lawsuit

21-07-2020 22:45 Argentina has lost an attempt to dismiss a UK lawsuit filed by four hedge funds alleging that the country manipulated economic data to avoid making payments for securities linked to its growth.

AS I SEE IT

China will soon come a-calling

04-07-2020 09:25 The coronavirus plague has harmed China’s international reputation, but it has also weakened many developing countries to such an extent that they will find it all but impossible to turn down offers of financial help.

by James Neilson

DEBT RESTRUCTURING

Debt talks with creditors stall amid growing animosity

18-06-2020 01:21 Ad Hoc Bondholder Group, one of several that have been most active in the talks, slammed Argentina for rejecting what it called a “sustainable and sensible solution.”

DEBT RESTRUCTURING

IMF backs Argentina's debt offer, saying only 'limited scope' to improve it

01-06-2020 15:21 IMF makes another public push to support the government’s debt restructuring offer, saying there's here’s little room to further increase payments to private creditors.

THE LAST SEVEN DAYS

May 23 - May 30: What we learned this week

30-05-2020 09:54 Noticeable stories from the last seven days in Argentina.

DEBT RESTRUCTURING TALKS

Argentina aiming to sign new IMF programme in 2020, says Guzmán

28-05-2020 23:30 "It is something that is going to happen in the course of 2020," says Economy Minister Martín Guzmán.

Bloomberg

New York lawmakers’ last-minute move may cost Argentina dearly

27-05-2020 15:29 Investors could sue the country for full repayment if debt restructuring discussions turn sour, and that’s when an expensive quirk of New York state law could become a big problem.

RATINGS AGENCIES

S&P, Fitch officially lists Argentina as in default

27-05-2020 00:34 Argentina’s ninth default on external debt is now official after Fitch and S&P cut bond ratings to default status.

ECONOMY AND CULTURE

Choice of Ramón Carrillo for 5,000-peso bill sparks controversy

23-05-2020 08:04 Health secretary under Perón set to be featured on new banknote, but local Jewish community leaders express anger given his historic links to Nazi Danish doctor Carl Peter Vaernet.

DEBT RESTRUCTURING TALKS

Government defaults on bond payments, deadline dance continues

23-05-2020 07:47 Four years after returning to the capital markets, Argentina’s defaults for the ninth time in history. Government and creditors continue negotiating, as Economy Ministry extends deadline for talks until June 2.

DEBT RESTRUCTURING

Argentina has been 'in default for months,' says Fernández

22-05-2020 02:16 "We have been in default for months, before December even we were in default," says Peronist leader.

DEBT RESTRUCTURING

Feud with BlackRock escalates as debt talks get heated

16-05-2020 10:53 The govenrment’s debt restructuring talks with foreign creditors are getting heated, and one Wall Street firm – BlackRock Inc – is a big part of the reason why.

PANDEMIC PONDERINGS

Still quarantined after all these days

16-05-2020 08:00 If the funds are playing the instability game to trigger a political crisis, it’s not happening right here and now. Most of the centre-right opposition leaders holding office have had no choice but to close ranks behind Fernández, who is extremely popular according to polls.

by Martín Gambarotta

BLOOMBERG

Stiglitz: Creditors to shoulder blame if Argentina defaults

11-05-2020 22:42 “If creditors don’t put forward a sustainable offer, Argentina has no choice; it’s creditors who are really driving the default here,” declares Nobel-winning economist.

DEBTORS & CREDITORS

IMF ‘stands ready to help Argentina’ through ‘difficult times’ ahead

09-05-2020 07:57 Fund spokesperson Gerry Rice ‘hopeful’ deal can be reached with creditors to avoid default.

DEBT RESTRUCTURING

Argentina's joust with bondholders likely to drag on beyond Friday

07-05-2020 12:43 Battle of attrition between Argentina and international creditors over restructuring US$65 billion in debt is likely to continue unabated past a Friday deadline, analysts say.

EDITORIAL

When default comes by default

18-04-2020 10:36 The government said everything and nothing on Thursday but it might as well have said nothing, given the extreme flux in which the economy is drifting both here and abroad. This seems to have been implicitly recognised by debtor and creditors alike.

DEBT RESTRUCTURING

Argentina’s coronavirus default dance

18-04-2020 09:46 It sounds like a decent deal for Argentina, even if it’s impossible to put together sound economic projections in the midst of the global coronavirus pandemic. Yet, those sitting on the opposite side of the negotiating table feel it’s too good for Argentina.

by Agustino Fontevecchia

BLOOMBERG – ANALYSIS

Argentina makes opening move in debt talks

17-04-2020 01:12 The highlights: a three-year moratorium, a 62 percent reduction in interest payments and a five-percent cut in the value of the principal.

Bloomberg

Unofficial exchange rate slumps as printing presses warm up

14-04-2020 15:51 Argentina's unofficial exchange rate dropped on Monday after President Alberto Fernandez indicated the country may be preparing to turn on the printing presses to revive the economy.

RATINGS AGENCIES

Ratings agencies downgrade Argentina after payment freeze

07-04-2020 23:03 S&P adjusted Argentina's rating to "selective default" on Tuesday, after government freeze payments on dollar-denominated debt under local law. Move follows in the footsteps of downgrades from Fitch and Moody's.

BLOOMBERG

Suspension of local debt payments shows not all bondholders are equal

06-04-2020 16:11 Plan to stop payments on some dollar-denominated debt burns investors who put their faith in domestic bonds, improves outlook for holders of international notes.

Argentina's downturn

Merval slumps 14% amid virus fears, country risk soars above 4,000 points

18-03-2020 18:03 As global markets take huge hits, benchmark Merval index of Buenos Aires Stock Exchange plunges more than 14 percent; Country risk rose to 4,040 points, a height not seen since June 2005.

DEBT RESTRUCTURING

Government proposes US$69-billion debt restructuring plan

10-03-2020 08:15 With Decree 250/2020, government confirms proposal to restructure US$69 billion of public debt.

Bloomberg

Alberto Fernández says debt deal must be 'sustainable'

02-03-2020 13:12 President emphasises in speech to Congress that “the most important thing is that the deal we reach with creditors is sustainable.”

MISSION TEAM

Fernández praises Guzmán as IMF confirms team will visit next week

28-02-2020 13:52 International Monetary Fund confirms it will send a mission team to Buenos Aires again next week to continue auditing public accounts.

DEBT NEGOTIATION

Guzmán heads home after meeting bondholders in United States

27-02-2020 07:00 Economy minister flies back to Buenos Aires after meeting with Argentina's creditors and officials from IMF in United States, as debt restructuring talks continue.

PROVINCE DEBT

La Rioja Province late on bond payment, will seek talks with creditors

26-02-2020 18:54 Authorities in La Rioja say province facing difficulties in making interest payments for US$300M in bonds due 2025 and plans to initiate consultations with bondholders.

DEBT TALKS

Famed economist concerned Argentina is on road to 'total default'

20-02-2020 09:00 Economists, including respected Turkish academic Nouriel Roubini, warn that Argentina's lack of credibility and a coherent economic plan may mean negotiations with IMF end up fruitless.

DEBT RESTRUCTURING

IMF says Argentina's debt burden is 'unsustainable'

19-02-2020 18:27 Review by International Monetary Fund mission team paves the way for the government to ask private bondholders to take on losses, as it prepares to renegotiate its obligations.

DEBT HISTORY

Argentina and the IMF: a story of love and hate

17-02-2020 07:00 History looms large, as government officials continue to meet with mission team from the International Monetary Fund.

Bloomberg

Bank of America pitches ‘mutually beneficial’ debt restructuring plan

14-02-2020 17:42 Bank of America Corp says it figured out a feasible way to solve Argentina’s debt crisis: Offer so-called pars and discount bonds for foreign-currency investors. For Argentina, it could make financing needs more manageable and reduce debt-to-GDP to 60% in the next decade.

E-Commerce Giant

Marcos Galperin resigns as president and CEO of MercadoLibre

14-02-2020 16:12 Argentine entrepeneur, who has led website to multi-billion-dollar success, will be replaced by Brazilian businessman Stelleo Passos Tolda.

Bloomberg - Long Read

Money manager expects crisis to worsen as Argentina's bonds blow up

14-02-2020 13:49 Investment fund Franklin Templeton’s star money manager, Michael Hasenstab, interprets government's move to delay a US$1.4-billion local bond payment as a sign that the economic slowdown is only going to worsen.

DEBT RESTRUCTURING

Debt talks with IMF begin in Buenos Aires

13-02-2020 10:11 About 6,000 people demonstrated in front of Congress in Buenos Aires on Wednesday, shouting "IMF get out!" as negotiations over debt restructuring begins in earnest.

DEBT RESTRUCTURING

Protesters set to rally as IMF arrives for debt restructuring talks

12-02-2020 08:41 Demonstrators will take to the streets of the capital this afternoon, as IMF officials arrive in Buenos Aires and Economy Minister Martín Guzmán presents his fiscal plan before Congress.

Bloomberg

IMF heads to BA for talks with poker-faced Fernández

11-02-2020 09:01 President Alberto Fernández has likened renegotiating the nation’s debt load to playing poker – but this week, he'll finally have to show some of his cards.

FUND CONFIRMS

IMF mission team extends Buenos Aires trip to full week

11-02-2020 08:39 Spokesperson for the International Monetary Fund confirms that mission team will stay full week in Argentina, longer than three days originally planned, with talks over nation's debt burden set to enter crucial stage.

by James Grainger

BLOOMBERG

Buenos Aires Province surrender sends Argentine bonds on a wild rally

10-02-2020 14:28 Province’s capitulation spurs betting on sovereign bonds, they have returned 8.7 percent since January 27. However, Argentina is still in dire need of the IMF’s approval to restructure the debt.

Delaying Debt

Fidelity wins big on Buenos Aires bond payment

05-02-2020 12:25 Buenos Aires Province avoids immediate default by agreeing to use money from its coffers to make a principal debt payment, Kicillof says.

BA PROVINCE DEBT TALKS

BA Province surprises with plan to pay bond, and then restructure

04-02-2020 16:36 Axel Kicillof declared that the province will use its proper resources in order to realise a US$250 million bond payment to avoid default. The Governor looks to reassure creditors about Buenos Aires ability to honour its debt.

Bloomberg - Long read

Guzmán's ambitious plan to diffuse Argentina's debt bomb

03-02-2020 13:16 The government's proposed timeline to fix the US$311 billion debt problem was met with scepticism, but the plan offers a glimpse of how the Fernandez administration hopes to proceed.

DEBT TALKS

Chamber of Deputies approves government's debt restructuring bill

29-01-2020 16:46 Lawmakers in lower house Chamber of Deputies back bill to restructure the country's external public debt during special session. It will head to the Senate next week.

Deadline approaches

Buenos Aires Province sweetens deal for 2021 creditors

27-01-2020 17:27 In exchange for pushing back the deadline on a US$250-million principal payment, investors would get paid interest on those funds, according to the offer revealed Monday.

NEW ERA

Hello default my old friend

18-01-2020 10:28 Kicillof has set the stage. But soon Alberto Fernández and Guzmán will be the leading actors. Or is this just Kicillof’s play?

by Martín Gambarotta

Bloomberg

Kicillof shows restraint as he takes on creditors once again

16-01-2020 15:45 Governor delivers tough message to bondholders, as Buenos Aires Province asks creditors to accept delay onUS$250-million principal payment due January 26.

BLOOMBERG

Buenos Aires Province debt talks slam one of world’s best bonds

09-01-2020 21:54 Buenos Aires Province’s plan to seek talks with creditors ahead of a debt payment due this month has torpedoed one of the world’s best bond rallies.

IMF CREDIT-LINE

Fernández says he won't seek remaining US$11 billion from IMF

26-11-2019 19:29 President-elect says he will not seek disbursement of the remaining US$11 billion of Argentina's record US$57-billion credit-line with the International Monetary Fund.