Argentina’s current external debt problem

Claudio Scaletta explains the debt dilemma created by Mauricio Macri's outgoing government in Argentina which will be a central challenge for the new Peronist government of Alberto Fernández and Cristina Fernández de Kirchner that takes office December 10. (Mi nombre es deuda Página/12 03.11.2019)

In any case, the inexorable fact of the macirist heritage is that it generated an external crisis, that it will leave an economy in virtual default and that in the face of this reality there is no alternative but to renegotiate and restructure the maturities. At this point begins the bureaucratic and intricate world of sovereign restructuring and its various models, for example with or without a reduction of the principal, with or without interest. The preliminary assessment suggests that Argentina will need a restructuring with a reduction of principal and interest and, moreover, not making payments in the first few years for the economy to emerge from the stalemate. The concrete form of this restructuring will be the debate for the coming years. [my translation from Spanish: my emphasis in italics]