Argentina's $20B Bailout Plan Collapses

Plans for a $20 billion bank-led bailout by JPMorgan, Bank of America and Citigroup have been shelved. The U.S. Treasury’s separate $20 billion exchange-rate stabilization agreement with Argentina remains in place, and about $900 million in IMF special drawing rights has also been provided.

Bankers are instead negotiating a roughly $5 billion short-term repo facility to provide dollars for a January debt payment, with Argentina expected to refinance via bond sales later.

Argentina’s economy minister, Luis Caputo, denied any talks with U.S. banks about a $20 billion bailout, calling the reports “an operation” to create confusion.

Caputo wrote on X, “We never spoke with ‍the banks about a bailout, nor about 20 billion. It’s just another ‘operation’ whose only purpose is to ​create confusion.”

https://www.msn.com/en-us/money/markets/argentina-s-20b-bailout-plan-collapses/ar-AA1R90Q8?ocid=nl_article_link