Argentina seeks settlements, dollars at World Bank
- Article by: MICHAEL WARREN
- Associated Press
- October 11, 2013 - 12:50 PM
BUENOS AIRES, Argentina — Argentina is promising to make good on $500 million in World Bank arbitration court rulings with a mix of new bonds instead of cash, and it's counting on getting billions of dollars in new loans in return.
That credit line awaits World Bank board approval in December, and officials in Washington wouldn't confirm amounts. But Economy Minister Hernan Lorenzino tweets that $3 billion will flow into Argentina for more social programs.
Details of Argentina's arbitration court offer have not been released, and it's not clear the companies would accept it.
The Ambito Financiero newspaper reports Friday that Lorenzino offered to pay much less than the full amounts with bonds, not cash, and also would require the companies to reinvest 10 percent of what Argentina owes them in new Argentine bonds.
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