After another night of street demonstrations against the government and its financial restrictions, Argentine banks re-opened on Friday and immediately attracted long queues.
Chilean president Raúl Lagos reshuffled his cabinet naming a woman for the first time ever as Defence Minister.
The Mercosur presidential summit scheduled for this Friday was postponed for later in January and only Foreign Affairs Ministers from the block's four countries and associate members Chile and Bolivia will be meeting in Buenos Aires.
With the prodding of Spain, the European Union demanded from Argentina a reliable, dialogued and coherent budget, capable of generating confidence among investors.
Asking for understanding and belief, since miracles do not exist, Argentine Economy Minister Jorge Remes Lenicov confirmed on Sunday evening a 40% devaluation of the peso and simultaneously outlined the rules for the new economic system which includes negotiations with the country's creditors, sometime in February, after we've put the house in order .
Mercosur presidents will be meeting next Friday in Buenos Aires to express their full support to the new Argentine government and formally hand the rotating six month chair of the block to Argentina.
In his first public appearance since taking office Argentine president Eduardo Duhalde confirmed the devaluation of the Argentine peso and called for a new strong alliance of the productive community, backed by a convergence of the political and productive powers of the country.
Argentina is broke, and we're all responsible, said incoming Argentine president Eduardo Duhalde after taking office in a sober ceremony in Casa Rosada, that contrary to a few days ago, concluded with the intonation of the national anthem.
Interim Argentine president Adolfo Rodríguez Saa confirmed his administration is working in the creation of a new currency which will help finance the million jobs he promised on taking office, and that will thrust the country out of the four years recession and record unemployment.
Argentina's newly nominated President finally announced what had been anticipated for months, a moratorium in the country's massive 132 billion US dollars debt, averting a political and institutional crisis that threatened to plunge Argentina in disarray.