After the electoral moment and In the midst of a climate of financial euphoria, the Government will close October with debt maturities in pesos for almost $11 billion. This Wednesday he will try to renew most of it.
This was announced by the Ministry of Finance, which will make available to investors the following bills and bonds:
- As of November 29
- As of January 30
In the run-up to the elections, and with markets positioned for a bad electoral result, the majority of Analysts estimated that in the next call the government might not go to 100% rollover.
The idea of this would be to partially decompress the interest rate scenario and at the same time give some liquidity to the market to supply the greater demand for pesos that companies and banks have at the end of the month. But now that scenario has changed markedly.
In the first call of Octoberprior to the election, the Government carried out a tender for $3.8 billion and the renewal level was 45%.
One of the elements that can counteract the demand for pesos is that the exchange rate is experiencing a sharp decline these days, which implies that there may be more pesos. If the US Treasury stops selling dollars in the local market, there will be greater liquidity.
No finance secretary confirmed
The tender announcement was carried out by the designated chancellor Pablo Quirnowho still is formally the Secretary of Finance.
During the weekend some names circulated for his replacement, but neither the Government nor the Treasury Palace officially reported who will be the official who will have to face the task of renewing debt and obtaining financing for the Treasury.
Source: Ambito
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