Argentinean Crisis

Argentinean president Alberto Fernandez proposed a new set of regulations to tax the richest people in the country (above 2,35 M dollars).

Now the congress discusses the proposal that would create a one-time tax, starting with 3.5% up to 5.25%. The extraordinary fee is estimated to affect between 9.000 and 12.000 richest Argentineans, then 20% of the money collected will be used to fight the Covid-19 crises, and the rest will be used to reduce the economic crisis that holds the country in recession since 2018, having 40,9% of the total population of 44 million Argentineans under the poverty line.

Argentina’s Economy Minister Martin Guzman announced Monday the country reached a deal with the majority of creditors, and that 99% of the $65 billion debt could be restructured.

The deal would allow Argentina to exit default, and start debt talks with the International Monetary Fund.

Argentina reached a deal with its major creditors to restructure roughly $65 billion in sovereign debt, a hopeful sign for a country that now faces a brutal Covid-19 related recession on top of longstanding economic problems.

The official statement of the Argentinean Economy Ministry read: "Argentina will adjust some of the payment dates contemplated for the new bonds established in its July 6 Invitation, without increasing the total amount of principal payments or interest payments that Argentina undertakes to make and at the same time improving the value of the proposal for the creditor community ".