Tuesday, February 2, 2016

Gov't announces agreement with Italian bondholders

The federal government announced a “pre-agreement” Argentina has reached with Italian bondholders suing the country over a US$900 million debt.

In a press conference at the Pink House, Cabinet Chief Marcos Peña and Revenue and Finance Minister Alfonso Prat Gay made the announcement today.

“We want to announce we have reached a pre-agreement with 50,000 Italian bondholders that were the first to litigate against the country represented by the Task Force Argentina (group),” Prat Gay said.

The deal will allow Argentina to service the debt of US$900 million, which accounts for 15 percent of the debt that was left outside the (debt restructuring) agreements (2005 and 2010), and for 30 percent of the debt the government is negotiating in the United States.

“It is a first step to begin normalizing what worries us most in this situation. We have said we are going to respect the capital and that we will be firm with the insterests,” the minister said.