/biz/ - Business & Finance

>>1148636
Post a summary. The only time I hear about Argentina is when they start creating a ruckus about muh malvinas.

>argentina
>white

>Argentina has lots of debts
>Lots of turmoil, people cant buy food
>Argentina goes through tons of presidents in one month
>One after the other resigning
>Argentina guys say, "We no pay debt, Argentina has no more debt!"
>Everyone who loaned money pissed off
>All these people eventually take a shitty deal getting shorted on their investments
>Some large bank firms stick around
>Large bank firms now control Argentina's ability to get money through US courts
>Argentina is made that they have to pay back their debt

fuck off

>>1148636
Argentina's government unwisely borrowed money they didn't have. That money must be repaid.

>>1148682

Plus 1100% of it

>>1148691
They systematically screwed over their creditors until no one would lend to them. When they ended up in a currency crisis no one wanted to lend to them. The only ones who would even consider it were US institutional investors brokered by Goldman Sachs. They said, "We'll give you the money if you agree to pay the interest at 21 percent annual, and you also agree to litigate in US courts." The Argentinians said, "Hells yeah!" and took the money. They tried to tell their American credits to go fuck themselves when it came time to pay the money back, like they had done with al of their other creditors. This time because of the litigation clauses they had to convince a NY circuit judge that they shouldn't have to repay the money. The judge basically threw the book at the Argentinian government citing the original agreement and the Argentinians cried usury. Personally, I would've sided with the European creditors to begin with and let Argentina collapse, but the US wanted to forgive them and tread into dangerous credit waters. the TL;DR of the situation is that it was Argentina's fault, and if they had managed their spending this would've been so much easier on them, but they couldn't so now they're fucked.

Argentina is the gambling-addicted uncle of the world.
Burning through cash, then borrowing, then burning again. Gradually, everyone in the family stops lending to Uncle Gaucho, then his friends.
So Uncle Gaucho borrows from shark loans. And burns through the... whole... damn... cash... again.
Now, our uncle is fucked. And, all of sudden, realizes he's virtuous, and cries to the sky about how evil and ethically wrong shark loans are.

He is right about shark loans being evil, but that didn't stop from taking their money. Uncle drove all the ethical lenders out of his life, then had to get in bed with the devil, and get fucked.
Then woke up in the morning and got on his white horse, claiming to be a virgin who got date-raped.

>>1148838
So how is Goldman Sachs getting their money back through US courts if Argentina doesn't have any

>>1149271
The US has threatened to seize overseas assets of the Argentinian government including accounts based in Switzerland et al. They have money, they just don't want to pay. Also, their credit rating has tanked. Either they'll raise taxes and cut spending or the personal piggy bank accounts of the oligarchs that run the country are going to be taken as collateral.