...- Following the unilateral extension of U.S. dollar-denominated short-term paper (Letes) held by private-sector creditors on Dec. 19, 2019, the administration of Alberto Fernandez has conducted several successful peso-denominated debt auctions in the local market, paid the Bopomo due Dec. 23, and announced no immediate strategy to re-profile the remainder of its debt. - Hence, we are raising our foreign currency long-term sovereign credit rating on Argentina to '##' from '##' and the short-term rating to 'C' from 'D'. - We also affirmed the transfer and convertibility assessment of 'B-' because tightened foreign-exchange controls have not impeded payment of principal and interest on nonsovereign debt thus far. - The negative outlook on the long-term ratings reflects prospects for a further restructuring of sovereign debt in the coming months as the administration holds dialogues with bondholders, financial intermediaries, and official creditors on its policy priorities, economic strategy,...
