They will offer 3 bonds in dollars to foreign funds that invested in securities in pesos

Tender in dollars.JPG

For "normalize the debt market in pesos" and offer an exit door "to those who have already stated their intention not to remain in this segment", in the An official statement clarified that the participants will be able to use their holdings of securities in local currency as a payment and subscription mechanism.

“It is a very good decision that shows a previously unknown facet of Minister Martín Guzmán through a pragmatism that interprets that the The domestic market has investors who structurally are sellers and want to exit, "said Leonardo Chialva, economist at Delphos Investment.

Chialva explained that, since Argentina today cannot issue a bond in dollars and maturities in pesos are approaching, the economic team is "inviting" investors to be patient sign the new letters that will be issued in the coming weeks, since with the chronogra announced today they will be released towards the end of the year .

At the same time, the portfolio conducted by Guzmán anticipated that these instruments in dollars will be identical to those that will be made available in the exchange of foreign debt under local law .

Economy emphasized the inheritance that it received as a result of the policies implemented during the Macrista management, which was crossed by the "carry trade" mechanism through which investors took advantage of the extraordinary rates in domestic currency to later dump that differential in the purchase of dollars.

"This generates a negative externality on the peso instrument curve while increases volatility exchange and financial ", they explained from the ministry.

According to the words of the economic team, the new announcement is also part of a comprehensive scheme that seeks to restore the [19659009] macroeconomic stability .

"In a context of strong currency restrictions, this measure seeks to resolve existing tensions in the yield curve in pesos in order to generate a sequence that allows generating higher relative demand for assets denominated in national currency, while reducing pressure on the exchange and financial fronts "they ruled.

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