IMF cannot offer Argentina a haircut on loan, Georgieva

The International Monetary Fund won’t offer Argentina a haircut on its $44 billion loan, according to Managing Director Kristalina Georgieva. “Our legal construct is such that we cannot do measures that may be possible for others without this big global responsibility,” she said. An IMF technical mission is in Buenos Aires through Feb. 19 to meet with Argentina officials and assess the country’s debt sustainability. Talks with the IMF will be key for an even bigger negotiation with bondholders to avoid a default.

Vicentin files preventive bankruptcy after $1.3 billion default

Argentina's leading agroexporter Vicentin has requested the opening of bankruptcy proceedings before the Commercial Justice of the province of Santa Fe. Since the beginning of December, when the company declared default with $1.35 billion debts, Vicentin is holding back, and expects to reactivate two industrial plants, but there is fear for the future of 800 workers and 2000 producers.

BA province averts default and pays $277mn for BP21 bonds

Buenos Aires province will not default and will pay this week $250 million capital plus $27 million interest of bond BP21 originally due on Jan. 26, Governor Axel Kicillof said. The announcement came after failure of negotiations for getting agreement with 75% of bondholder over a delay until May 1, being Fidelity Investments the main group opposed to the deal. The province will use own resources to make payments.