Economy confirmed the success of the exchange with 64% adhesion

The economic team highlighted the success of the debt swap, with 64% acceptance, and estimated that the new titles with maturities in 2024 and 2025 will be delivered to investors next Tuesday.

This was indicated by sources from the Ministry of Economy to Télam, who specified that investors who had remaining titles from the exchange launched in January and decided to enter now, also entered this operation, and that gave them a 7% acceptance of the total tendered yesterday.

“The results of 64% of the exchange are correct; 64% entered securities in the hands of investors”they indicated.

The same sources explained that this additional 7% that entered now and had not done so in January “meant a lot for the Treasury, since they were maturities that expired in March.”

With which, “The expectations we had the day before, of an income of no more than 50% and 55% at most, were far exceeded”they explained, after reconfirming that maturities for more than 4.34 trillion pesos were cleared this year, and they were left for 2024 and 2025.

A question arose because some consultants indicated that the exchange had had an acceptance of less than 60%.

In this regard, the source explained that “when we were analyzing an exchange to extend maturities to 2024 and 2025, we also reopened that January exchange, where very few investors had been left out, there were neither individuals nor public sectors; only some specific investors, such as mutual funds, and we made a separate reopening of this exchange and for another we made the long exchange”.

Thus, The source specified that the average of these two exchanges, of the remainder of January with securities maturing in March, and the average of the second exchange with maturities of the second quarter, “gives us 64%.”the same source specified to Télam, which confirmed that “the exchange is already closed and that the new titles will be delivered to investors next Tuesday.”

From the Finance Secretariat, led by Eduardo Setti, this Friday they were engaged in processing the data that entered yesterday to make a finer analysis of those who entered and those who did not, to continue rearming the financing plan for the year.

On the other hand, rumors were also being heard that today would be D-day for the IMF technical review of the last quarter of 2022 to be formally approved, which would include changes in the calculation of the reserve targets, since now it will be a variable target. , depending on the circumstances of exports.

“The IMF did not request this exchange, but it does view this type of operation that clears maturities very favorably”said the official, after the success of the voluntary exchange, which achieved support from banks and insurers.

Through a statement from the Economy, it was reported yesterday that the voluntary debt exchange in pesos with maturities until June had an adhesion of 64% of the eligible titles, which allowed clearing maturities for more than $4.34 trillion and extended the term of the commitments to the years 2024 and 2025.

The operation had majority support from private banks and public sector organizations, which entered with close to 85% of their total holdings, which allowed the agreement. Among the most relevant banks that participated are Nación, Provincia, Galicia, Santander, Credicoop, Ciudad and ICBC, according to sources from the Economy Ministry.

It was Sergio Massa himself who took charge of the operation and closed the agreement with the banks last Monday, in a meeting held with the financial entities in Economy.

“Being able to consider an offer of two baskets, the possibility of having a debt program that even deactivates that idea of ​​the bomb, that every two or three months something is about to explode and that gives it a 2024 maturity curve. , 2025, much more orderly, also associated with the program of fiscal order”, said Massa in said meeting.

While the national public and private banks grouped in the Association of Public and Private Banks of the Argentine Republic (Abappra) -among which Nación, Provincia, Ciudad and Credicoop stand out, among others- had already anticipated the Wednesday that would accompany the exchange “with 100% of their holdings”.

Lastly, Setti described the swap on his twitter account as “an operation of great relevance is the top priority of this management, the results of which will contribute to guaranteeing greater confidence, predictability and stability.”

“With this process of reorganization and extension of the sovereign curve in pesos, we will be able to preserve the sustainability of the debt,” he concluded.