"Why we're seeking debt again"

Buenos Aires Herald
August 26, 2009

Economy Minister Amado Boudou (photo) confirmed Argentina’s desire to return to international credit markets as the last of 19 speakers at the annual forum of the Council of the Americas yesterday.
After boasting about the success of growth and exchange rate policies and the financial solidity since 2003 (six of the eight years of fiscal surplus in all Argentine history), Boudou then asked himself the question: “If we are so solvent, why do I give so much importance to returning to international credit?”

Because it was better to return when not under pressure, his answer began — Argentina will only need to meet 13 billion dollars in debt obligations in 2010 as against 20 billion this year and total indebtedness was less than half of Gross Domestic Product. The motive was not to plug any gaps but because Argentina owed it to world recovery to tap its full potential, owed it to its citizenry to improve public services faster and owed it to its private sector to obtain the leverage of international financing.

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