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Paris Club Agrees to No Default Should Debt Payment Be Missed

ARGENTINA
  • Bloomberg reports that the Paris Club of nations have agreed that Argentina will not formally default if the country misses upcoming bond payments.
  • Reminder - the Argentine FinMin is spending this week meeting with several European governments in an attempt to delay debt payments.
  • As per FT piece yesterday, IMF officials don't expect to reach an agreement with Argentina until the mid-term elections in October. These headlines could suggest the government may now go ahead with pre-election spending ahead of the vote later this year.

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