MercoPress. South Atlantic News Agency
Argentina can resume business with country export credit agencies, following Paris Club deal
Argentine president Cristina Fernandez praised on Thursday the agreement reached with Paris Club creditors and said that the government will now turn to international credit markets to finance “infrastructure, development, and technology.” Read full article
Comments
Disclaimer & comment rulesHappy days are here again.
May 30th, 2014 - 05:50 am - Link - Report abuse 0The skies above are clear again.
Does she really believe that that the Worlds Finance Markets are going to lend them more money?
For that matter, does anyone on here believe it.
So the moral of this story?
May 30th, 2014 - 06:04 am - Link - Report abuse 0Argentina agrees to pay its debts.
And....
Argentina needs to borrow money from international investors.
So Argentina is just like every other country and there is no special new economic paradigm.
What a wasted decade to just accept reality.
What happened to the isolationist movement? “We don't pay our debts and you can't make us.” “We don't need anything from any foreign country”.
May 30th, 2014 - 07:13 am - Link - Report abuse 0Time for someone to grow up.
Robbing Peter to pay Paul springs to mind.
May 30th, 2014 - 07:29 am - Link - Report abuse 0Last week:
May 30th, 2014 - 08:30 am - Link - Report abuse 0“Why don't you pay your debts?”
Today:
“Why do you pay your debts?”
:)
Can someone remind me who were those posters that insisted Argentina will “never” pay their debts and that Argentina does not need nor want to work within the existing rules of the “capitalist” world?
May 30th, 2014 - 09:11 am - Link - Report abuse 0I think they feel there will be a miracle overnight. Argentina is still......well, a kirchner country. Perhaps the people will see that after all the damage the kirchner's have done here, they see that she also had to make an about face.
Stevie
May 30th, 2014 - 09:37 am - Link - Report abuse 0“Why do you pay your debts?”
Who said that?
@6 TTT speaks for the whole of Argentina but there are others here that think they have no responsibility to pay their debts.
May 30th, 2014 - 09:40 am - Link - Report abuse 0Putting things in perspective, they haven't paid anything yet. If they do, I hope it is a sign they are growing up as a government. However, the reality is they are DESPERATE. They are out of money and need to borrow just to survive. It is this alone that is driving this sudden conscience about the money they owe.
If the Paris Club have used the dire situation of Argentina to get repayments then good for them. I am not sure it will open a floodgate of lending to Argentina but it may just help them in the short term and that is all CFK is concerned with.
They're out of U$ and the Soy isn't enough to cover the loss in Car exports. They need to buy fuel and this may be a way for them to squeak through the winter.
May 30th, 2014 - 09:49 am - Link - Report abuse 0I kinda doubt it though.
In another couple weeks Scotus will either take the case or they'll need to pay.
Then we'll seee
Is it me?
May 30th, 2014 - 10:12 am - Link - Report abuse 0I admit I know nothing about economics but I do know that if I went to my bank borrowed 5000 euroes then refused to repay a cent for x years I know damn well that they nor any other financial institution would ever lend me a cent again! - but then of course I'm only (Think) an Irish turnip.
@11 This is slightly different but who knows if the Paris Club are using a carrot to get some of their money back. Nothing else has worked.
May 30th, 2014 - 10:45 am - Link - Report abuse 0And, as I said previously, there is unlikely to be a queue of people wanting to lend to Argentina but those that do will charge the top rate of interest. One a defaulter and scofflaw……..
11
May 30th, 2014 - 10:58 am - Link - Report abuse 0If this agreement in Paris doesn't need to be analyzed and decided by the executive powers (or has already being so) of the countries that make up the Paris Club then its just completaly walked over its funding charter and work methology.
For just 10 Bn U$S its peanuts for Germany and Japan, why will they leave such a poor precedent.
There is so many things that just dont add up.
Or either the powers are bending over backwards to see prevent Argentina falling in another default or this is a huge smokescreen
@ 2 Anglotino
May 30th, 2014 - 11:03 am - Link - Report abuse 0“Argentina agrees to pay its debts.
And....
Argentina needs to borrow money from international investors. ”
- to pay its debts.
Kristina is deluded.
May 30th, 2014 - 11:12 am - Link - Report abuse 0The deal on the debt has not been ratified yet.
No new loans have been agreed yet.
She is stating that both of these have been completed.
Also what is all that about tea and scones (a fine English tradition!) ?
And the very,very,very small headlines she is not bothered about? So why draw attention to them ?
She sounds like a petulant teenager desperate to hang out with the adults. .....
14
May 30th, 2014 - 11:26 am - Link - Report abuse 0Back in late April there was reports that they had negotiated a small loan from Goldman Sachs..
The last thing we need now is that the financial institutions gas the last meters of the perverse, corrupt and unfair system up to 2015, hand over a financial time bomb and a parasited State by La Campora for them to return in 2019.
We have being waiting for so long that they run out of money with their policies, now that we are there, the world decide to subsidize them. Its so unfair
Seriously though the risks involved with investing in Argentina are so great. After all anything that becomes profitable just is a target to be nationalized.
May 30th, 2014 - 11:38 am - Link - Report abuse 0Given the choice most oil companies would much prefer to deal with say for instance the Falkland Islands, where they can build all the infrastructure needed to look after the drilling platforms.
Without any need whatsoever to go near Argentina.
Call me cynical, but it's very easy for CFK's government to arrange a deal to pay the debt when they will be out of office in a year thus leaving the debt repayments / problem for the next clown to sort out, which he/she won't be able to.
May 30th, 2014 - 11:40 am - Link - Report abuse 0This will give time for CFK or Máximo falopero to step back into the limelight and the casa rosada...........well, for Máximo la casa will probably be a number of different colours depending on what he's been snorting.
@15 That is exactly what is happening. This is the economic plan that the old hag talks about.
May 30th, 2014 - 11:46 am - Link - Report abuse 0If Macri gets in, he is going to discover a can of worms.
Yep, but it has already happened before in the late 1990s to the early 2000s…
May 30th, 2014 - 11:57 am - Link - Report abuse 0It’s going to be Repsol+Paris Club+The houldouts (will SCOTUS now take the Argentine case since Argentina is showing a “good will”??) for the poor clown to deal with. They are going to deliver a bankrupt indebted State, hyperinflation, energy dependent from overseas and commodity prices will start falling in the mid decade.
All these globalist financial institutions are only good at financing dictators; they don’t understand 3 world politics and have become a part of the problem since the end of WWII. I say F+*k them ALL and the Paris club countries too.
I’m a patriot I would rather have the country implode to the Stone Age, live off a bloody vegetable garden and some farm animals if I have too, a good gun and abundant ammunition and see it through and let the country bleed to death and start all over again from zero.
Under this kind of scheme where faulty, corrupt, unfair and unsustainable systems are FINNANCED then there is not much hope at all I guess.
I had wondered yesterday after KissmeOff's negotiations with the PC was announced...
May 30th, 2014 - 11:58 am - Link - Report abuse 0How much will they be trying to borrow... against the promise of repayments... I figured pay 500M payback / borrow 2 B... I never expected this news would come so soon...
The question still remains... HOW MUCH will they hold their hands out for this time...
The Argentine history of bad debt and default is astonishing.. I find it hard to believe govts. and creditors still fall for it...
I figure someone somewhere somehow has some GOAT PHOTOS they are holding for use as bargaining power...
20
May 30th, 2014 - 12:28 pm - Link - Report abuse 0Unless SCOTUS humiliates the Ks and forces the country into default, and the Paris Club is considering this beforehand so they would rather accept the whatever peanuts that these guys can pay them with, I’m starting to believe that they are all a bunch of cowards.
Just like the Anne Krueger cra*ed herself when the Cyclops rants at them or when CFK insulted Legard, she looked down to her. I thought it was just good manners at the time.
Now Legard is praising Argentina for yesterdays deal.
Everybody is praising Argentina “Returning”.....
Argentina may be a serial debtor and defaulter, but the creditors just don’t want to let go of her and let her collapse by herself.
Why would this Club forego the requirement of IMF audits?
May 30th, 2014 - 01:29 pm - Link - Report abuse 0It is like they decided they just don't want to know.
22. The only people saying the IMF is not involved are the Ks. This isn't near done.
May 30th, 2014 - 01:44 pm - Link - Report abuse 0Don't fall for the propaganda.
@2
May 30th, 2014 - 01:56 pm - Link - Report abuse 0Uhmmmm.... no. Argentina will not pay debts to RICH nations. They do not deserve the money.
The next president will promptly abrogate this outrageous “deal”.
23
May 30th, 2014 - 01:57 pm - Link - Report abuse 0How long does it take for the PC delagates of the USA, Japan or Germany to report the details of the deal to the executives in each country??
25. It all goes through Treasury and State so I have no idea. Argentina has no friends in the USA Gov't. Treasury's goal is to get Arg in status at the IMF so I don't see why they'd give up any leverage until that happens.
May 30th, 2014 - 02:02 pm - Link - Report abuse 0All of this is pure K propaganda.
Until it is signed off and a PR from The PC is released it is nothing more than empty words from known liars.
I'm glad to see so many people doubt this. When will CFK make her escape? Will it just be US$650 million and no more? Next payment by May 2015. And the total US$9.7 billion to be repaid over FIVE years? What was wrong with US$5 billion NOW? Still leaves US$4.7 billion to be repaid over 4 years. Think I'll arrange my next loan with the Paris Club.
May 30th, 2014 - 02:05 pm - Link - Report abuse 0You better be right on this one YB, this morning all major financial papers, The Economist, Bloomberg,FT have said that they have pulled this off and that only the SCOTUS decision awaits.
May 30th, 2014 - 02:08 pm - Link - Report abuse 0Even LNOL implies today that the US is closing ties with the Kirchners and that can have implications help them with SCOTUS.
I’ve they manage to sell smoke to the entire world media like they have done then I would at least have to take my hat off to the spin masters they are.
@24
May 30th, 2014 - 02:12 pm - Link - Report abuse 0“Uhmmmm.... no. Argentina will not pay debts to RICH nations. They do not deserve the money.”
LOL!
This is the most hysterically funny statement yet!
“deserve”????
Who made you the moral arbiter of international finance? God?
pmsl!
you really don't understand business, but thank you for the laughs!
28. They are all reporting the same thing with a little different spin. All of it coming from the Ks.
May 30th, 2014 - 02:20 pm - Link - Report abuse 0Look at the note PC put out, all it mentions is the debt amount was agreed upon.
The most inconsequential part of the negotiations.
All the other b/s is coming from AxelK.
The office of the Prez has no influence with SCOTUS.
Give it time to play out. They need breathing room and this is giving it to them.
If it was really a done deal the bonds would have rallied.
They haven't
@ - 30 Its just wait and see time now. In the end, this is just politics. The gov has to go back and say that it has got a great deal out of the Paris club, that Axel is a phenomenon and that they are in the money. It is the only spin available to them; after all, this is the same group of politicians whose mantra was never to pay back 2001 debt unless it was solely on their terms. Everyone knows that, given the level of understanding of economics/anything financial by the population of Argentina, if you say something loudly enough and often enough, people will believe you. Those that disagree...Ahh….well there are just unpatriotic aren't they...
May 30th, 2014 - 03:05 pm - Link - Report abuse 0Looks like desparation that CFK and Axel have bowed to pressure and paying Paris Club debt in full and with lots of interest to be added because of the long delays. If they had just paid up front it would have been much cheaper for the Argies but what does CFK care, its not her money.
May 30th, 2014 - 03:33 pm - Link - Report abuse 0The part of the deal that Cristina is most pleased about - that the IMF will not be auditing Argentina's accounts as the Paris Club originally requested - is the part which is going to keep foreign investors away.
May 30th, 2014 - 03:44 pm - Link - Report abuse 0The Paris Club charter is very clear that you need the IMF to carry out the negotiations of restructuring debts; yesterday ALL papers in Argentina oficialist as well as anti government said that the Paris Club agreement was a success. Only Urgente 24 that is not main stream media in Argentina said that the arrangement has to be agreed by all of the 15 countries.
May 30th, 2014 - 04:19 pm - Link - Report abuse 0They also mentioned that a Clarin correspondent went to ask the Economy Minister of France how the negotiations were going on the same building at the same time, and the minister replied that he was clueless about the negotiations, and that he should relate to Sepin for such answers.... So therefore the members top officials are not even aware of what has being agreed. At least France's isn't.
At 8:00 Pm Cachanosky and Benegas program (very anti government) they were completely shocked in surprise that the Paris Club had given in. They just couldent believe it.
Why would the Paris Club fall back on its principles and why would they give Axel Kicillof a political victory for free??
34. You're answering you own questions.
May 30th, 2014 - 04:29 pm - Link - Report abuse 0Got a lot of coverage in the BA Herald, you would have thought the K government had one the lottery.
May 30th, 2014 - 05:35 pm - Link - Report abuse 0Thankfully their are Argentines on these pages who have not fallen for it.
That makes me optimistic that there is a small chance, that maybe sooner, rather than later, we can put the differences between us aside and Concerntrate on the more important issues.
@36 It does show just how desperate they are for money. Really, really desperate.
May 30th, 2014 - 05:38 pm - Link - Report abuse 0Sorry for the grammar, have mild dyslexia, but it's ko though.
May 30th, 2014 - 05:45 pm - Link - Report abuse 0Certainly going down big on the Herald. Everyone who is anyone in the K entourage seems to be commenting on how things are going to improve.
OT but I will say it again, the picture editor has a wicked sense of humour. CFK looking like a blow-up doll again.
May 30th, 2014 - 06:38 pm - Link - Report abuse 0Does she come with a puncture repair kit, or is that optional along with the lube and batteries?
May 30th, 2014 - 06:44 pm - Link - Report abuse 0Sorry about that, could not resist.
Is it not true that the world bank is desperate to give CFK money.
May 30th, 2014 - 06:49 pm - Link - Report abuse 0and now they have the chance,
logical or very crafty.?
@5 Argieland hasn't paid ANYTHING yet. And, on its part record, it never will.
May 30th, 2014 - 08:13 pm - Link - Report abuse 0@24 Is that “official”? Or haven't you used your “power” yet? Did you notice that there are indications that argieland will try to settle with the “holdouts” out of court? That will cost. US$1.3 billion instead of US$1.33 billion?
Come off it, who in their right mind this side of this century, really, really believes they will pay this off or any other debt off.
May 30th, 2014 - 08:18 pm - Link - Report abuse 0The clue is in the date it was formed!
Shame cos it was once a great country!
So no actual deal yet, officially. Still waiting for ratification.
May 30th, 2014 - 09:33 pm - Link - Report abuse 0No 'new' loans just yet also.
Krisina shouting her gob off again, without reason.
Meanwhile, back on the ranch;
“Crony capitalism is a term describing an economy in which success in business depends on close relationships between business people and government officials. It may be exhibited by favoritism in the distribution of legal permits, government grants, special tax breaks, or other forms of state interventionism. Crony capitalism is believed to arise when business cronyism and related self-serving behavior by businesses or business-people spills over into politics and government, or when self-serving friendships and family ties between businessmen and the government influence the economy and society to the extent that it corrupts public-serving economic and political ideals.”
Any of this sound familiar?
Who gives a shite anyway?
May 30th, 2014 - 09:36 pm - Link - Report abuse 0Definition of ferked?
Argentina.
All the pain and no pleasure.
@34 The Paris Club don't care about local politics. Axel Kicillof accepted all their conditions ...
May 30th, 2014 - 10:23 pm - Link - Report abuse 0http://www.clarin.com/opinion/acuerdo-facil-Kicillof-acepto-condiciones_0_1147685326.html
... and they are going to get their money. Until the IMF is allowed to audit Argentina's accounts, no-one is their right mind will invest a dollar in Argentina becuase no-one really knows how close to default Argentina really is.
All the pain and no pleasure, as reality check rightly says.
Get their money back?
May 30th, 2014 - 11:18 pm - Link - Report abuse 0That's a good one!
Reality sometimes sneaks up and bites you on the arse!
May 31st, 2014 - 01:33 am - Link - Report abuse 0“Argentine vice-president Boudou summoned in corruption case”
http://www.bbc.co.uk/news/world-latin-america-27643525
“Mr Boudou is suspected of using his influence to ensure that a contract to print Argentina's banknotes was awarded to a company he allegedly controlled.
He was once seen as a possible successor of President Cristina Fernandez de Kirchner.”
Not anymore, you're not pal!
2012
Jun 02nd, 2014 - 12:14 pm - Link - Report abuse 0“With President Cristina Fernandez de Kirchner vowing never to pay investors”
2013
“In addition, she stated that “Argentina will honor its commitments”, alluding to a possible negative rule by the US Supreme Court regarding the so called ‘Vulture Funds’ case.”
2014
“agreement reached with ”Paris Club”
I do hope the people of Argentina see the 180 the kirchnerites are pulling. Just enough to look like they are doing something for the elections. Kirchner.....get over it....ALL IS LOST!!!
And in today's news...cfk will support Boudou and not ask for his resignation...even though he is facing charges of corruption. Me thinks maybe there might be some hanky-panky going on here between the widow and the divorced vice?? And they expect that real countries will lend money to a country rife with thieves.
Jun 03rd, 2014 - 11:32 am - Link - Report abuse 0It's my understanding that they actually in fact hate one another. But.......the corruption blanket covers most of the kirchner administration.
Jun 03rd, 2014 - 02:15 pm - Link - Report abuse 0They will not get any money from any established countries, investors or banks while this administration still controls the throttle. They may get some small, meaningless crap, but I think China is the only one willing to lend, maybe Russia if they can find the money.
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