“We are very satisfied with the tender because, beyond the fact that we continue to listen to the media and some leaders who say that the debt is unsustainablethat we are not going to be able to roll, that it is impossible to obtain new financing and cover the deficit, the truth is that the market has been accompanying us very well in this task that we have been carrying out,” Setti said in statements to radius 10.
The result obtained in Monday’s tender is the highest net financing for a single operation placement of debt in local currency so far this year.
In this sense, the official highlighted that from the Palacio de Hacienda “we are carrying out the plan that at the time we committed to the assumption of Minister Massa and the change in expectations that this generated”, and affirmed that “every day we get closer for the curve (in pesos) to be fully ordered, with short, medium and long term maturities”.
“We are going through the most difficult months that the Finance Secretary as challenge. We would have one more month left with a heavy load from the private sector and from then on they are public sector maturities. The expectation of not being able to renew maturities or that the exchanges are not successful is alleviated ”, he added.
Along the same lines, the Finance Secretary highlighted the accompaniment of the private sector in tenders that leads Economy. “The market trusted us and our proposal. Without them it would not have been possible either ”, he maintained, and affirmed:“ We are on the same path that we set out to when we took office because it is giving us results ”.
Sorting the debt curve is “important”
The official highlighted the importance of “leaving the (maturity) curve in order” and warned that if the next administration decides to “reshape” or “default” the debt is a “political decision“since the market is following the placements.
Setti pointed out that “leaving the curve tidy is important”, not only for the current management but for whoever succeeds her in December. “It is important to have predictability and have the instrument of being able to finance oneself through the local market. The speculation It is the usual game at the moment. We believe and we have talked a lot about it with the market, we all know that it is not convenient for the JxC actors or for us that the curve becomes disordered ”, he pointed out.
“We are going to continue on the same path. We all understand that the only way out is to extend (expirations) and leave tidy. What if someone decides reprofile either default the curve (in an eventual next administration) is a political decision and not a market decision because there is no other option left”, he concluded.
Faced with payment obligations of $477,000 million, Monday’s bond and bill tender resulted in a market offer of just over one trillion pesos and a total award of almost $774,000 million. With those numbers, the placement posted the highest roll over percentage (166%) so far this year.
Source: Ambito
