Thursday, September 11, 2014

CFK signs Sovereign Debt bill: We can pay, we want to pay, we will pay

“This law assures the payment for 92,4 percent of bondholders which in addition contemplates the interest for those investors who did not took part of the two previous debt swap processes,” the head of state explained. (Télam)

President Cristina Fernández de Kirchner has passed into law the Sovereign Debt bill, which changes the payment location of Argentine bondholders and was approved by Congress earlier this morning.

After the announcement made by Economy Minister Axel Kicillof of the “Now 12” initiative, a new government plan aiming to boost local consumption levels, Fernández de Kirchner assured that with the new bill “Argentina wants to pay, can pay and will pay all the contracted debts,” in a clear reference to the judicial dispute with the holdouts and the consequent adverse ruling by US Federal Judge Thomas Griesa.

“This law assures the payment for 92,4 percent of bondholders which in addition contemplates the interest for those investors who did not took part of the two previous debt swap processes,” the head of state explained.

According to the President, Argentina’s current financial situation has nothing to do with the last socio-economic crisis which took place in 2001, as she described that today, “we are in an exactly reverse situation, in 180 degrees,” and recalled she served as a Senator during that time.

“In December [2001] I was a Senator in a Congress that applauded the default,” Fernández de Kirchner affirmed.

The President remarked the international support the country enjoyed from during its struggle with the so called vulture funds, emphasizing the role of the United Nations who earlier this week passed through its General Assembly a resolution that seeks to achieve a new control framework for foreign debt, “so no country will suffer what Argentina is living today,” Mrs. Kirchner stated.