Sovereign Debt Negotiation The Economy Ministry officials hope to close by mid of this month to reconcile the debt with the Paris Club, due to technical discussions about the total amount of debt already in its final stretch. If everything goes on track, it would not be in “mid-February 2011″ the time that Argentina submit to the Paris Club a concrete proposal, Telam said sources close to the negotiations. The contacts were formally opened with the visit of the delegation of Argentina who led the Minister of Economy, Amado Boudou, last December, after the agency gave its approval to the claim made by the Government to exclude the IMF negotiations. In this context, the economic portfolio maintains as its goal to renegotiate the debt “at the end of the first semester of the year. The government aims to achieve the highest possible deadlines for the restructuring, which will be in the forefront of trading, compared with the rate and final amount to be restructured, as indicated. Debt to these premises could be around USD $ 7.300 million. U.S. funds have offered their support to the president of Argentina, Cristina Fernandez, who this year wants to debt negotiation it has with the Paris Club. His Government hoped to reach an agreement with creditor countries, and despite the „lobby‟ American food press to thwart the president of the southern country, experts predict a bright future for Argentina‟s debt in 2011. Interest Funds: Some U.S. funds, like Gramercy and Nomura Securities, have backed the return of Argentine debt bonds to soar as a result of negotiations with the Paris Club and the balance of the debt of Argentina and its creditors. Obviously they are holders of bonds purchased to auction. Moreover, these funds have shown that during 2010 the dollar-denominated bonds from Argentina soared by 35.8%, and so have behaved much better than other debt securities of emerging countries . No food interest lobby Argentina: Amado Boudou, economy minister of Argentina, met for the second week of September with officials of the Paris Club to consider how the timing and amount to which Argentina would face, on the instructions of the chair. The same week that the meeting is held, a U.S. food lobby began pressing for the U.S. would not accept the two conditions sought by the government of Argentina. The first was the term that Cristina Fernandez would have to deal with debt. Argentina called for six years, while the Paris Club does not seem willing to accept a period exceeding eighteen months. However, in the „American Task Force Argentina‟ (ATFA) are reluctant even to this term. Nor want the International Monetary Fund (IMF) is not present in those negotiations, as you want Argentina and accepted the select club. The American Task Force for Argentina (ATFA, for its acronym in English) is an alliance of individuals and organizations together to reach an agreement “fair and equitable” the default and the restructuring of sovereign debt of the Argentine government. The ATFA was formed in response to concerns about reckless driving sovereign debt of Argentina. The Task Force works with legislators, the media, creditors and other interested parties in the United States, Argentina, Europe, Asia and Latin America. In particular, the Task Force advises the public and increase awareness about the dangers associated with the Argentine government‟s inability to take charge of your failure to pay under the international standards. The final objective is to strengthen stability ATFA of global credit markets, work to achieve an appropriate outcome for the remaining creditors, ensuring the integrity of American law and strengthen crucial bilateral relations between the U.S. and Argentina. Other Stakeholders: The international crisis has promoted the orders of the European headquarters to industrial or service activities in Argentina, who pressure their governments to close an agreement with a view towards a decrease in the cost of credit, all of which plays to Argentina. The Japanese are among the most interested in getting soft financing from their headquarters and credit agencies, and provide for investment in sectors as diverse as wind energy, a sector expected to grow strongly in the southern country.
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