In an interview with Canal E, attorney Sebastián Maril discussed the complexities associated with the seizure of sovereign assets and Argentina’s challenging track record in this regard. His comments came in light of recent news about the country’s decision to send gold reserves abroad. He also touched on the government’s speculations regarding the potential next president of the United States.
“Seizing sovereign assets is a very complex process with uncertain outcomes. Unfortunately, Argentina has experienced situations where its assets were seized,” Maril explained. He emphasized that any debtor government should aim to minimize the exposure of its sovereign assets to creditors given this history.
Maril further elaborated, noting the urgency of the situation: “The current agreement with the IMF is set to expire in November or December this year, and the next U.S. president won’t take office until January 20. Therefore, the government needs to reach an agreement before the deadline.” He cautioned that the government should not gamble on who will be the next president but should instead address matters with the current administration.
He observed that the government appears to be taking necessary steps to stabilize the economy, particularly concerning the Central Bank. “This includes relieving the monetary authority of any debt that involves issuance,” he stated. He added that it remains to be seen when tangible results will manifest from these efforts.
On the topic of Treasury financing, Maril posed an important question: “Will the Treasury, which has inherited these debts, be able to secure adequate funding to meet upcoming obligations next year?” He pointed out that the government’s actions—sending gold abroad and making payments overseas—suggest a serious attempt to establish short-term agreements with international banks.
Maril also commented on the legislative aspect, mentioning, “Any agreement with creditors resulting from rulings against us abroad must be approved by Congress.” He warned that if sovereign assets were somehow seized as partial or full payment for these judgments, it could lead to payments being made without Congressional approval.
Source: https://www.perfil.com/noticias/canal-e/Reservas-de-oro-embargar-activos-soberanos-es-un-proceso-muy-complejo-con-resultados-inciertos.phtml
