The Minister of Economy, Sergio Massa, asked to investigate whether there were speculative maneuvers to make “extraordinary benefits” or carry out “a speculative attack against the national currency” regarding the government’s decision to repurchase debt in foreign currency.
To give greater clarity to the operation in the market and guarantee the transparency of the government’s actions, the minister also asked that the opposition parliamentary blocs be invited to audit the summary that is expected to start on Monday.
It did so by sending the request to the president of the National Securities Commission, Sebastián Negri, to “open the pertinent actions” that allow “determining the possible leak of sensitive information regarding the government’s decision to repurchase debt in foreign currency “.
On Wednesday, Massa announced the repurchase of foreign debt bnos for more than US$ 1,000 million as a result of the “window of opportunity” represented by the fall in country risk, and the possibility of accessing the debt market by the National State and the sector private.
But after the announcement, some unusual operations in the bond market that could indicate irregular maneuvers drew the attention of the market and the government itself.
Massa, specifically, asked to inquire about “the existence of speculative maneuvers in the purchase and sale of public securities in markets regulated by the CNV under different settlement currencies with the aim of manipulating the market and generating a rise in the quotations of the types of Parallel Exchange” known as dollar MEP and Cash with Settlement (CCL).
In this sense, the head of the Palacio de Hacienda asked the CNV to identify the possible beneficiaries of these maneuvers, including those who have bought dollar-denominated securities using pesos and who have sold those same securities against foreign currency.
It also requested the CNV to appear before Federal Court 6 of the city of Buenos Aires in the case labeled Sanchez Klabermatten Alejandro s/ Investigation of crime”.
The premise is to make themselves available and provide the list of individuals and legal entities that acquired bonds denominated in dollars with settlement in local currency and who made sales of those same securities with settlement in foreign currency, in the days prior to the announcement of the repurchase of debt.
“This intervention will provide clarity to the question raised, since the government’s decision in the repurchase was to protect those who speculatively sought to devalue our national currency and the value of our sovereign debt,” the minister considered.
He also asked Negri to “concentrate on the principle of publicity, formally invite the opposition parliamentary blocs to follow up and become aware of the ongoing investigation.”
The expectation of the Ministry of Economy is that the actions that are initiated will clarify whether the market activity was associated with a leak of sensitive information that allowed some privileged people to obtain extraordinary benefits.
Or, on the contrary, to determine if there was a speculative attack against the national currency that the government deactivated with the measure of repurchasing debt in foreign currency.
