This site uses cookies to provide you with a great user experience. By using BondbloX, you accept our use of cookies.
Bond Market News
Argentina in Negotiations with the IMF to Replace Current $44bn Loan Agreement
December 20, 2024
Argentina is negotiating a new program with the IMF to replace its current $44bn loan agreement. An IMF spokeswoman confirmed that Argentinian President Javier Milei’s administration prefers this new approach as compared to completing the final reviews of the existing deal. Momentum for the talks increased after Economy Minister Luis Caputo’s team and central bank officials met with IMF representatives in Washington. A key issue is whether the IMF will provide additional funding beyond rolling over the $44bn debt, and how much it would be. While Milei previously suggested seeking $15bn, no recent updates have been provided. Caputo expects the new program to include fresh funds. This would mark Argentina’s twenty-third IMF program since 1958, and its third since 2018. The IMF has praised their recent efforts to cut spending, reduce inflation, and reform exchange rates. Milei’s administration has largely met current program targets, improving prospects for a new deal to address Argentina’s ongoing economic challenges.
Argentina’s dollar bonds were trading stable, but have been among the top sovereign gainers this year – its 5% 2038s have risen over 75% YTD to 70.1 cents on the dollar, yielding 7.5%.
For more details, click here
Go back to Latest bond Market News
Related Posts:
BondbloX Pte. Ltd. is regulated by the Monetary Authority of Singapore as a Recognised Market Operator ("RMO") and exempted from Section 49(1) of the Securities and Futures Act (Cap. 289) ("SFA") under Section 49(7) of the SFA.