Argentina's Finance Minister Luis Caputo Unveils 2027 Debt Repayment Plan

Argentina’s Economy Minister Luis Caputo presented a conservative financial program covering the external‑debt maturities that will fall due in 2026 and 2027. The plan aims to put the country on an “investment‑grade” rating by the end of President Javier Milei’s second term. It relies on a fiscal surplus, local‑law bond issuances, purchases of dollars from the central bank, loans backed by multilateral agencies and privatization proceeds. The 2026 financing need of US$19.2 billion is matched by US$22.9 billion of sources, leaving a US$3.7 billion cushion that will be carried into 2027, when the program foresees US$24.9 billion of obligations. International market access is kept as an option – Caputo said, “Salir a los mercados es una opción, no un objetivo” – but it is not a primary goal. The announcement was greeted positively by investors: the country‑risk spread fell to 408 basis points, the S&P Merval index rose about 2 %, and Argentine ADRs and bonds gained modestly.

The programme also includes the launch of a new local‑currency bond (AO29), a planned US$2 billion bilateral loan for 2027, and continued use of IMF disbursements and World Bank guarantees. By keeping debt‑to‑GDP ratios on a downward trend and financing with lower‑cost funding, the government seeks to avoid a default and strengthen Argentina’s credit profile ahead of the 2027 election year.