The Minister of Economy, Sergio Massa, met this afternoon at the Palacio de Hacienda, with a dozen representatives of national banks and international capital to whom he presented his proposal for “public debt reorganization”which provides for the implementation of a new exchange for bonds in pesos maturing in the next three or four months.
In the meeting, which began at 12 and ended after 1, Massa was accompanied by the Vice Minister of Economy, Gabriel Rubinstein; the head of advisers to the Ministry, Leonardo Madcur; and the president of the Central Bank, Miguel Pesce.
“The first thing I want to do is to thank you enormously for the seriousness and professional work with which throughout these weeks of fighting or discussion with the financial system and the State and the national public sector, which for many months was considered the greatest problem and the greater uncertainty of the Argentine economy, which were the maturities of the debt in pesos, can have a program and a programming that gives it in the first place tranquility to the saver, to the depositor”, Massa pointed out during the announcement
“It is that any citizen knows that when he deposits a fixed term, or in a savings account, he does not have to be aware if the bidding of one week or the other of the public sector with the banks went well or went wrong. because this of give predictability to the link and financing between the public sector and the financial systemand the system of insurance companies and the domestic savings market system have as final beneficiary our savers, our depositors, the citizen who operates every day in the financial system”, remarked the Minister of Economy.
“The most relevant data of this tender that is launched, of this so-called voluntary exchange, is that it breaks that idea that Argentina has a debt reprofiling every week at the door. We have already had a reprofiling of the debt in pesos at some point, we have seen the frustration, pain and failure that this meant for Argentina and we understand that having an orderly, predictable debt profile is fundamental for the financial system, fundamental for the State and for the saver and the citizen have enormous peace of mind,” said the head of the Palacio de Hacienda.
The proposal launched by Massa contemplates a voluntary debt swap to clear debt maturities in pesos that the Treasury has to face in the next four months for a total amount estimated at 12.3 trillion pesos.
As expressed by Massa, the initiative will give the debt market in pesos “a 2024, 2025 maturity curve, much more orderlyalso associated with the fiscal order program”.