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Healthy: the Kirchners give the order to close a deal with Paris Club
Ambito Financiero
August 22, 2008

It's confirmed that N stor and Cristina Kirchner he is mentioned for his involvement in all economic movements by the country are accelerating an interrupted negotiation with the Paris Club. Over the last week, that issue was already initiated, while the Economy Ministry through which this chapter will have to pass could act as the complement to the financial leader of the deal: Mart n Redrado, head of the Central Bank, who today is in the United States.

The instructions to reverse the pessimism which international organizations have begun to have with Cristina's administration, including as it turns out the comment that ex-Minister Mart n Lousteau had arranged the backing of the U.S. Treasury for unblocking the complications with the Paris Club (as is known, that country would have to grant a nod or a certificate of health so that the European organization would resume its financial ties to Argentina.)

That move by Lousteau was cut short, seeming imposed by the criterion to "live on our own" (or with Venezuela's own), but the last placement of bonds with Hugo Ch vez at rates above speculative ones, the financing needs for next year and, above all, the lack of interest to lend to Argentina (think only of the controversial financing for the bullet train) perhaps convinced the couple to not delay any longer with an agreement with the international organization. The markets have already given Argentina an infinite number of signals about a dangerous slide downward.

There is almost no information about this budding negotiation, but one notices a reasonable attitude in search of a return to international financing, cheaper than other regional placements of debt (while, for now, the Paris Club would only qualify loans to European companies.) A signal that doesn't cost much (the amounts owed to the Paris Club are no relevant) and that opens, also, expectations for the country's return to being part of the global orchestra. Something late, maybe you could say like Eduardo Duhalde, then, that we didn't know the world was so globalized -, but necessary for an economy that sets of critical signs despite the constant optimistic messages from the government.