For Immediate Release
Argentina Reacts to Supreme Court and Announces Debt Swap
Proposal would not alter global impacts of court's decision
WASHINGTON - In reaction to an adverse Supreme Court ruling against Argentina, President Cristina Fernández de Kirchner announced that Argentina would offer new bonds to its creditors governed under Argentine law. The proposed debt swap would involve the 92% of the country's creditors that agreed to restructure in the wake of the country's 2001 default. While the debt swap proposes an alternative for the South American country, it fails to reverse the global implications on debt markets, debt restructuring and financial stability.
Eric LeCompte, Executive Director of the religious anti-poverty organization Jubilee USA Network, releases the following statement:
"Argentina may have a way to avoid paying the hedge funds but it won't change how the court precedent equips predatory funds with a powerful ruling to force the poorest countries to pay in full.
"Essentially, the ruling legitimizes this extreme behavior and makes it more profitable across the globe. "Poor people and legitimate investors still lose the most with this ruling."
Read a history and timeline of the case.
Read Jubilee's USA's filing urging the Supreme Court to take case.
Jubilee USA Network is an alliance of more than 80 religious denominations and faith communities, human rights, environmental, labor, and community groups working for the definitive cancellation of crushing debts to fight poverty and injustice in Asia, Africa, and Latin America.