S&P Global Ratings downgraded Argentina’s local currency sovereign credit rating to “Selective Default” (SD) after the government forced investors into a massive debt swap. The move involved exchanging $65 billion in peso-denominated bonds maturing in 2024. The downgrade reflects S&P’s assessment that the debt swap constitutes a distressed transaction “tantamount to default.” This marks a significant moment for President Javier Milei’s administration as it grapples with restoring economic stability.
February 18, 2025
SOURCE: RIO TIMES
Argentina Hits Selective Default as Debt Swap Highlights Economic Struggles