ON OCTOBER 26th an appeals court in New York sent shock waves through the sovereign debt markets, when it upheld a ruling that Argentina could not service the bonds it issued in its 2005 and 2010 debt restructurings unless it also paid the investors who rejected its offer in those exchanges. The decision left Argentina with a mere glimmer of hope: the court asked Thomas Griesa, the judge responsible for the case, to determine precisely how much Argentina would have to pay the “hold-out” creditors in order to stay current on its performing obligations. If Judge Griesa decided to show mercy to Argentina, he could have merely required the country to make a matching payment to the hold-outs whenever it paid interest on its debt, or devised any other formula that would have limited Argentina’s responsibilities to its bitter financial rivals to an acceptably small sum. Argentina’s debt default: The noose tightens | The Economist.
- Antingen – eller 1843
- Lugn eller oro i Europa? – Ekonomiekot Lördag