MercoPress. South Atlantic News Agency
Argentina cannot afford to pay creditors more
By Martin Guzman (*) – The following piece was published in the Sunday editions of the Financial Times, ahead of a critical countdown in May for Argentina's debts and its creditors: Read full article
Comments
Disclaimer & comment rulesPerhaps the millions Argentina wastes every year on its unfounded claims to various British islands could be redirected. Who knows, the UK may even look upon Argentina's pathetic plight more favourably if that was to happen.
May 04th, 2020 - 11:59 am - Link - Report abuse +2Does the IMF look as deeply into cases such as this as to understand what the country in question IS spending its money on?
Whilst it is painful to think of individuals in poverty in Argentina, for as long as its governments maintain a claim over my homeland, I will wish hard times on the dirty bastards.
Sorry but it's as simple as that.
Looks like you will get your wish, now in Spades.
May 04th, 2020 - 01:33 pm - Link - Report abuse +1There are REAL $ 17 billion in the reserves of the Central Bank of Argentina and the Government refuses to pay some bonds for a total of $ 503 million ... I can't believe Argentina does that ... honestly, it's incredible the level of irresponsibility of the Alberto Fernandez government.
May 04th, 2020 - 03:14 pm - Link - Report abuse +1Mr. JoBloggs...
May 04th, 2020 - 06:41 pm - Link - Report abuse -1For as long as the Engrish governments maintain a claim over my homeland, I will wish hard times on them nasty lads.
Yours...
El Think...
Think
May 04th, 2020 - 07:13 pm - Link - Report abuse +1Well in that case, you'd better hope your dirty thieving clowns in government can (again) convince the IMF that Argentina is worth worrying about.
What's it like to live in a country with so much potential but yet is such a laughing stock on the world stage? Not that you live in Argentina but I'm sure you know people who do.
Come on 22 May.
Chuckle chuckle.
I predict the bondholders will end up taking Argentina's offer or at least a slight variation of it. Pushing Argentina to default would be a lose-lose equation. For Argentina, however, default and an agreement would have similar consequences, that is, three or four years without paying anything. Even the worst agreement is worth more than no agreement at all.
May 05th, 2020 - 05:40 am - Link - Report abuse -2Think the Creole Planter
May 05th, 2020 - 02:49 pm - Link - Report abuse +1The “Engrish governments” don’t claim any part of Denmark/Scandinavia!!!
Free Patagonia, arm the Mapuche, aid their struggle to throw out the murdering, robbing Creoles from the North(ern Hemisphere).
The Swedes and Norwegians tell me the development of Danish children is retarded because the language is so unintelligible.
Apparently sounds like its being spoken with a hot potato in the mouth.
Could this be why you’re always pouring whisky into yours???
Enrique Massot
I suspect you may be right on this, essentially it is a choice between something or nothing.
Ironic really here the Brexiteer slogan is “no deal is better than a bad deal”
Pgerman
May 05th, 2020 - 11:06 pm - Link - Report abuse -1“There are REAL $ 17 billion in the reserves of the Central Bank of Argentina and the Government refuses to pay some bonds for a total of $ 503 million ...”
Well, don't you think the bank may have other needs? Do you expect they deplete their reserves to pay the bondholders?
“I can't believe Argentina does that ... honestly, it's incredible the level of irresponsibility of the Alberto Fernandez government.”
Perhaps...from your standpoint...Argentine citizens may have a different feeling because the Argentine government should take care of them in the first place. It is true that the Macri government would have acted differently. That is why he was soundly kicked out of office at the end of his first term...a feat no other president had achieved since the return of democracy in 1983.
Dear Minister Guzman - I have known Argentina since 1975 - my tenure as Treasury Director at IBM World Trade - and watched the Junta escort Isabelita onto a Plane headed for Madrid. I famously shorted the Peso in 1981 just a month before the peso collapsed. The $80mm IBM made is chronicled in the Harvard Business Review March 1963. I was also the first to litigate against Sovereigns beginning with Mexico in 1985 and became infamous with the Pravin banker associates versus Republic of Peru case, a landmark case cited in Law Schools all the way to Tokyo. Paul Singer/Elliot followed in my footsteps against Peru in 1995 and won big with Macri in Argentina. HOWEVER under cover of Covid19, Litigation is not an option which gives you Dr Guzman a free hand .. you do not need to budge at all and Kirchner has taught Argentines how to live and conduct business while in default and cutoff from future foreign bond issuances.
May 06th, 2020 - 04:37 pm - Link - Report abuse 0SO... No Worries..
BUT these new crop of creditor managers are blissfully ignorant of Argentine History
Enrique
May 07th, 2020 - 11:42 am - Link - Report abuse +1Do you expect there will always be bondholders to support the Peronist handout system if Argentina always refuses to pay them back?
Do you think the world owes you? If this is how enough people in Argentina feel , then no wonder the Macri government got booted out. Too many people feared having to earn their living.
But investors DO keep buying Argentinian bonds, despite the near certainty the country WILL default at some point sooner rather than later.
May 07th, 2020 - 04:50 pm - Link - Report abuse +1Difficult to feel sorry for them.
I can only assume that the interest is so high that it is still worthwhile, even allowing for a haircut, or two.
They are not going to pay $ 503 million, where they think they can get a reduction on that.
That is what you must expect if you buy Argy Gov bonds, par for the course.
I wonder if Enrique ever buys Argentine Government Bonds.
May 07th, 2020 - 07:03 pm - Link - Report abuse +1Commenting for this story is now closed.
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