Category: Argentina

Argentina Argentina successfully staged the first of three planned debt exchanges for the year in February, swapping $4.2 billion in debt. The exchange is part of a $39.7 billion rescue […]

Investor attitudes toward Latin American sovereign bonds have done an about face as Argentina stabilizes its
finances and US interest rates fall. As a result, piles of cash have poured into Latin government bonds

Multilateral creditors recently gave Argentina a $39.7 billion aid package to keep the country afloat. The deal?s terms are sweet and the country still has believers, but President Fernando de la Rúa has all but lost support.

Critics say Argentina’s problems are due to its fixed exchange rate and the economic effect of pegging the peso to the dollar. Steve H. Hanke, professor of applied economics at the Johns Hopkins University, chairman of the Friedburg Mercantile Group, Inc. in New York and the leading theoretician on dollarization, firmly believes that dollarizing is the best cure for Latin American economies. But without complementary – and somewhat radical – fiscal and banking reforms, Hanke says countries will fail to get a bang for their buck.

Citibank Sells Celulosa in Argentina Citibank is selling control of Argentina’s troubled pulp and paper producer, Grupo Celulosa Moldeada, to Uruguayan Fábrica Nacional de Papel, known as Fanapel. It is […]

Argentina draws on its traditional European investor base to lead Latin bond issuers in euros this year. Eurobonds have provided cheaper funding, but currency risk exposure looms large.

Deregulation still has a long way to go in the region’s telecoms industry, but Argentina and Venezuela are opening the way to more competition and with that, more direct investment opportunities.

How likely is it that the next shock to the world’s financial system will come from Argentina? The markets seem to be discounting trouble as the government struggles to borrow […]

With a tradition of stashing money outside the country and a feeble economy at home, Argentines are wary of investing locally. The government and mututal fund companies have a tough sell ahead.

A decade of market-oriented reforms, the introduction of private pension funds and the growth of mutual funds should have transformed Latin America’s capital markets. Argentina’s private pension fund managers and mututal fund industry together manage assets worth $28 billion, up from almost nothing 10 years ago. Mexico’s Afores, or private pension funds, have more than $15 billion under management.