Argentina's latest effort to restructure about $65 billion in foreign debt is its "final offer" and creditors must understand the financial strains preventing the Andean nation from improving payment terms, President Alberto Fernandez said Tuesday in a webcast hosted by the Americas Society.
"We are not here to fight with anyone. We want to try to resolve the debt problem," Fernandez said. "We have made all the efforts that we could, but we can't do more than what we offered. It's not a whim; it's about being sensible."
Bondholders on Monday joined forces to reject the proposal the government made in July and made a counteroffer with better terms, but Fernandez said the recession-hit country cannot do more amid the pandemic that has deepened the economic slump. The two sides are currently working toward an Aug. 4 deal deadline.
The nation fell into default in May for the ninth time after missing an interest payment, triggering a renegotiation of its foreign debt obligations with Wall Street creditors just as the government increased spending to fight the effects of the COVID-19 pandemic.
Fernandez's administration announced a number of measures to fight the slowdown, including a program to help employers pay for workers' salaries and a special bonus for poor families with children and for retired people receiving the lowest pensions. The government also increased assistance to food banks and other social programs.
Argentina started to gradually lift strict lockdown measures that were imposed in March as it seeks to reignite economic growth. Fernandez warned, however, that the battle against the coronavirus pandemic continues. The country has registered over 130,000 confirmed cases and more than 2,300 deaths, according to the Health Ministry.
