Payment default: Argentina rejects improved offer from investors

In the since months of ongoing dispute over a debt haircut has rejected the Argentine government's recent counter-offer to the creditors. The new demands could

Payment default: Argentina rejects improved offer from investors

In the since months of ongoing dispute over a debt haircut has rejected the Argentine government's recent counter-offer to the creditors. The new demands could not be fulfilled, had communicated to the Ministry of economy in Buenos Aires on Saturday. "This would not only be irresponsible but also unfair," it said in a statement. "While 50 percent of children in Argentina live in poverty, we can not increase the short-term gains of our creditors."

The liabilities of the second largest economy in South America, not to the current conditions to be viable. Therefore, Argentina is demanding that his private creditors to waive part of their claims of around 66 billion dollars (approximately 59 billion euros). There is no agreement, threatening the country with bankruptcy. It is the ninth payment would be a failure in the Argentine history.

the Last had been demanded by the lender higher interest rates on the government bonds and Changes to some clauses of the contract. The Argentine government maintains, however, on your last offer and no further concessions.

Argentina is in a severe financial and economic crisis. The inflation rate was more than 50 percent. For the current year, experts expect a decline in economic power by around ten percent. At the end of may Argentina interest rate had not settled receivables in the amount of 503 million US dollars, and had slipped into a limited payment default.

Updated Date: 26 July 2020, 10:19

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