Argentina is on the verge of registering one more default which is going to be devastating as the investors all over the world have been waiting for the outcome of the last resort restructuring of debt talks.
The government of Argentina has said that there is a need for the restructuring of $100 million of debt including the $44 million which is for the International Monetary Fund.
In the previous week, the IMF had sent a team of a few economists to the capital for the first formal negotiations of the fund with the newly elected government of Argentina.
The talks have been expected to finish on this Wednesday and have been held for avoiding the prospects of the history again repeating itself.
In the year 2001, Argentina had defaulted on close to $100 billion worth debt. It has triggered worst of the economic crisis in the history of the country and has been resulting in a lot of the middle class citizens going into poverty which is a consequence which many in the country have been blaming on the policies which were enforced by IMF at that time.
There is a risk that the country is going to register another default in sovereign debt and this is going to be its ninth, has increased recently as per the experts as they cited a growth in the lack of cohesion in policy in the coalition and the shorter timeframe for the securing of a stronger political backing. The IMF has said that the administration is not coordinated in any way.
Presently, the coalition of the President Alberto Fernandez and his team has been making an attempt for orchestrating a balanced act.