Debt Restructuring
When the default was declared in 2002, foreign investment stopped and capital flow ceased almost completely. The Argentine government faced severe challenges trying to refinance its debt.
The government reached an agreement in 2005 by which 76% of the defaulted bonds were exchanged for others, with a nominal value of 25–35% of the original and at longer terms. In 2008, President Cristina Fernández de Kirchner announced she was studying a reopening of the negotiations to gain agreement from the remaining 24% of the debt.
Read more about this topic: Argentine Economic Crisis
Famous quotes containing the word debt:
“This is the debt I pay
Just for one riotous day,”
—Paul Laurence Dunbar (18721906)