July 31, 2014
US Court ruling ‘undermines the most successful sovereign debt restructuring process’
Cabinet Chief Jorge Capitanich said the US Supreme Court’s decision to reject Argentina’s appeal on the hedge funds case “undermines the most successful sovereign debt restructuring process” and that it buffets “the foundations of a new perspective on international finances and economy”.
“The Court’s ruling is the last phase of a series of decisions by US Judiciary that tends to undermine the most successful sovereign debt restructuring process in recent times,” the Kirchnerite official said in his daily press briefing at Government House.
Capitanich pointed out that the debt restructuring process was carried out without any intervention from the International Monetary Fund (IMF) and that it allowed Argentina to save between 75 and 81 billion dollars. He also highlighted that 92% of creditors joined it voluntarily.
The Cabinet Chief said the ruling means that “a minority” wins over a “huge majority”. He stated that “what can be inferred [from the verdict] is that the foundations of a new perspective on international finances and economy are being buffeted”.
“It is no coincidence that the world is structurally unfair, that 1% of the population concentrates between 43 and 47 per cent of the world’s wealth,” Capitanich said. He pointed out, as the President had done last night, that the ruling gave the vulture funds a 1,608% profit over Argentina’s debt.
The Kirchnerite official said Argentina has showed its will to pay its debts since Néstor Kirchner's arrival to office on May 25, 2003 and that the country’s stance is “legitimate”.
“We are defending national interest […] the Argentine people’s interest,” Capitanich said.