Argentina Ministry of Economy will open a tender for voluntary swap of the so-called Dual Bond 2020 with maturity on February 13 (AF20) and equivalent to AR$105 billion for new titles or a combination of bonds with maturity in 2021, according to a today publication in the Official Gazette. The Dual Bond, denominated in dollars but with interest payment in pesos, was issued in June 2018 and collected $1.64 billion.
The Government of the province of Buenos Aires proposed today to pay 30% of the bond capital due on January 26 ($ 75 million) and defer the remaining 70% to May 1. Bondholders will also receive the interest corresponding to that postponed capital, if at least 75% of them accept the terms before this Tuesday.
During the first month of Alberto Fernández’s government, Argentina’s public debt was $323.2 billion, which is almost $12 billion more than in November, according to data from the Ministry of Economy. As of December 31, 60% of the gross debt corresponds to public securities, 21% to international organisations, 10% are from Treasury Bills, 4% are from temporary advances of the Central Bank, 2% from official bodies and 3% belong to “others and pending restructuring.”
Ecolatina estimates that the Argentine GDP will fall 1.6% in 2020, in its third consecutive year of contraction. An improvement in economic activity during “the second part of the year” that will depend primarily on how debt restructuring is resolved, “will not compensate for the fall of the first half, also affected by the negative results of 2019,” says the consultant company co-founded by economist Roberto Lavagna.
Argentine Minister of Tourism and Sports Dr. Matías Lammens and Trip.com Group Chairman and co-founder James Liang discussed in Buenos Aires ways of collaboration for increasing Chinese tourism to the South American country. Argentina was one of the fastest growing overseas destinations among 300 million Mainland China customers of Trip.com Group platforms in 2018. Argentina-bound flight bookings and hotel reservations both increased by more than 100% year-on-year in 2019.