A breakdown of Argentina’s counter-clock debt talks
Argentina’s default clock is ticking, as the government decided not to pay the USD 503 million in interest for its Global 2021, Global 2026 and Global 2046 bonds yesterday, triggering the start of the 30-day grace period before the breach of the debt prospectus is confirmed.
Simultaneously, the clock of Argentina’s debt renegotiation is ticking as well. Economy Minister Martín Guzmán said May 8 will be the deadline for bondholders to decide on the restructuring proposal presented last week.
As anticipated by The Essential, bondholders this week said they were not content with the offer, calling for an improved bid and a bigger fiscal effort from Argentina’s part.