Dayhoff Soundtrack: Eurozone Crisis: The Economist: Argentina’s debt default Gauchos and gadflies

Thursday, February 09, 2012

Eurozone Crisis: The Economist: Argentina’s debt default Gauchos and gadflies

The Economist: Argentina’s debt default Gauchos and gadflies

I’ve read it several times and gain more insights every time I read it…

Creditors’ decade-long battle with Argentina shows just how tangled sovereign defaults can be Oct 22nd 2011 NEW YORK http://www.economist.com/node/21533453

AS GREECE flirts with disaster and several other European countries buckle under heavy debts, creditors’ experience with Argentina should serve as a sobering reminder about the mess that can follow a sovereign default. A decade after the Latin American country welshed on $81 billion, disgruntled creditors are still chasing their money. The litigation, and Argentina’s defiance in the face of judgments against it, complicate its plans to return to international capital markets.

Argentina’s default, after a severe economic crisis, sparked social unrest and runs on banks. It subsequently presented creditors with a take-it-or-leave-it offer of 35 cents on the dollar. They considered this derisory: previously, delinquent countries had typically paid 50-60 cents. But the government stood firm and roughly three-quarters of the bondholders took part in a debt exchange in 2005. More joined in 2010, bringing the total to 93%... http://www.economist.com/node/21533453

In this section Hitting the kerb Darkness visible Europe’s new dress code Slow finance Unrest in peace

Government and politics Public finance

http://www.economist.com/node/21533453

[20111022 Economist Argentinas debt default]

Eurozone Crisis

Labels: 20130100 Greece, Business Economics, Bus Econ eurozone, Bus Econ sovereign debt, World Europe, World Europe Greece