Argentina Debt Do-over Is Even Chancier Than Usual

Sovereign debt’s bad boy is back. Argentina, the eight-time defaulter, is on the hook for around $100 billion of hard currency debt held in private hands, just part of its hefty borrowings, Reuters reported in a commentary. The International Monetary Fund may complicate new President Alberto Fernandez’s plans for a quick debt fix, with wonky new bond features making the outcome even chancier than usual. The dwindling liquid cash reported by the country’s treasury won’t even cover next year’s roughly $10 billion in private-lender interest, let alone principal. The Fernandez administration, which took office on Dec. 10, has signaled it prefers a so-called reprofiling to anything more drastic. Read more

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