MercoPress. South Atlantic News Agency

Public and private debt totalled 145,6 billion US dollars

Argentina's total debt, private and public, reached 145,6 billion US dollars in the last quarter of 2003, with a 4,9 billion US dollars increase over the previous Q, reports the National Institute of Statistics.

The public sector debt actually jumped 5,3 billion US dollars partly because of the appreciation of the Euro (3,8 billion US dollars) and partly because of the accumulation of arrears equivalent to 972 million US dollars.

On December 31, 2002 Argentina's total debt stood at 134,25 billion US dollars meaning that in one year it expanded 8,4%.

September 2003 proved crucial since that month Argentina announced its first official offer to private creditors, mostly holders of defaulted bonds equivalent to 88 billion US dollars. That same month Argentina reached an agreement with the IMF to reprogram 21,6 billion US dollars of standing debt with multilateral credit organizations, with quarterly reviews.

Next April Argentina is expected to offer a definitive restructuring program to private sovereign bondholders. Although it's expected to be more attractive, the Kirchner administration has insisted it will based on the 75% face value cut first originally announce last year.

Argentina's balance of Payments also reflects the improving economic situation and confidence recovery: compared to 2002 when almost 12,5 billion US dollars fled the country, last year the figure was down to 2,95 billion US dollars.