August 21, 2014
Gov’t: ‘There is no possibility of default’
Amid an escalating rethoric war between the government and holdout hedge funds after a series of ads in local and international newspapers, Cabinet Chief Jorge Capitanich bluntly rejected the latest advertisement published by the so-called vulture funds through the American Task Force Argentina (ATFA) group and reiterated the country's ability and willingness to pay.
“Argentina pays. There is no possibility of default,” Capitanich stated in his daily press briefing at the Government House in response to the ad, which accuses the country of refusing to negotiate and launching a disinformation campaign. “What they say in the ad is not true, it is part of the lie they always use to try to extort Argentina,” he added.
“[Argentina] is a solvent country, with the capacity to honour its commitments. What the vultures and this task force want is to prevent payment”
Capitanich stressed that the content of the advertisement is untrue and described it as “part of the lie [vulture funds] always use to try to extort Argentina”.The official said that the holdout hedge funds “have no willingness to negotiate, but to extort”.
He also pointed out the support Argentina has received from the international community in its battle against the holdout hedge funds. “The world cannot accept the existence of a tiny group of financial speculators that in six years have had a profit of 1,600%,” he said.
The Kirchnerite official reiterated the government’s willingness to pay but warned that it will “by no means take extorts of any kind”.