Canada’s Bank of Nova Scotia is seeking more than $600 million in damages from the Argentine government, blaming actions by authorities for the losses it suffered when it shut down its Argentine banking unit, Quilmes, during the economic crisis in 2002. When the Argentine government revoked Quilmes’ license the bank had 91 branches and 1,700 employees.
Category: Argentina
Posted inDaily Brief
Movistar Plans Investments
Spanish mobile telecom Movistar, a unit of Spanish wireless telecom Telefonica Moviles, plans to invest $155 million in Argentina this year. The number of the mobile telephone calls in Argentina increased 78 percent in 2004, while the number of active handsets increased 46 percent. Movistar has a 43 percent market share in the country.
Posted inDaily Brief
Scotiabank Sues Argentina
Canada’s Scotiabank is demanding $600 million in compensation from Argentina in a suit filed under the United Nations Commission on International Trade Law. Scotiabank claims government policies in the 2001-2002 financial crisis forced it to close its subsidiary Scotiabank Quilmes, later sold to local investors. Scotiabank’s claim for arbitration is one more than 100 pending against Argentina.
Posted inMagazine
Flavor of the Month
Argentina is coming in from the cold and investment is trickling back into the country. That still won’t help the government’s angry bondholders much.
Posted inMagazine
The Struggle Must Go On
Argentina is booming again after years of decline. But it needs to attract foreign investment to keep the economy growing. And that will require a deal with bondholders and the International Monetary Fund.
Posted inMagazine
Time to Talk, Seriously
The G-7 finance ministers have told Argentina to negotiate with creditors or risk losing further IMF support.
Posted inMagazine
Putting Thought Into Action
Adam Lerrick is an academic who has cooked up ingenious solutions to financial problems and tested the ideas in real life – such as devising a way to unify Argentina’s bondholders to defend their rights.