May 28, 2020 | 6:53 pm
An important committee of creditors involved in the debt restructuring talks with the Argentine government made a new “more favorable” proposal on Thursday.
Alberto Fernández’s government is trying to reach an agreement to restructure Argentina’s external debt, which amounts to around 66,238 million dollars.
The ad hoc group of creditors said in a statement Thursday that it had submitted the proposal with a second group of creditors, which it said would give Argentina more than $ 36 billion in cash flow relief over a nine-year period.
Last week, Argentina defaulted on the payment of 503 million dollars of interest on three foreign bonds that matured on Friday, although it reached an agreement with its creditors to extend the restructuring negotiations, thereby avoiding going to court, although it fell into a “soft default”.
The South American country wants to avoid another default or default that would be devastating for its economy. The government is seeking a three-year grace period, a reduction of $ 3.6 billion of total debt, as well as a reduction in the interest rate from 7 to 2.3%.
With information from ..