Argentina launches debt refinancing program backed by World Bank guarantee

The Argentine Ministry of Economy began a critical June debt tender, issuing new Treasury bills indexed to the official exchange rate and other instruments aimed at extending payment terms and absorbing excess bank liquidity. The operation seeks to refinance more than 100 % of the interest due on sovereign debt and to prevent peso‑dollar pressure on prices.

At the same time, the World Bank approved a US$2 billion guarantee for Argentina, covering about 95 % of the service payments on any commercial loan obtained through the scheme. As World Bank Vice‑President for Latin America and the Caribbean Susana Cordeiro Guerra said, “We are committed to support Argentina’s macro‑economic stabilization and growth‑oriented reforms.” Additional financing discussions are underway with the Inter‑American Development Bank and the Development Bank of Latin America and the Caribbean, potentially raising total guarantees and funding to roughly US$3 billion to meet the approximately US$4.4 billion of debt maturing on 9 July.