The government disclosed the final details of the restructurings in both international and Argentine laws, which have a settlement date at the 4th of September. Even after having the swap practically closed, at least with the large groups of bondholders, it is striking that the bonds continue to trade with an implicit rate of 12% and with an inverted curve. We estimate that this is a consequence of investors' lack of confidence in the government, deepened by the negative context of the pandemic. We believe that in order to maintain a sustainable path of low country risk, the government will need to undertake structural reforms and direct fiscal and monetary policies.
Reporte
Fixed Income Weekly