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Argentina Opens Talks on 'Debt for Education' Bond Buyback, Taps JPMorgan

The plan seeks cheaper multilateral-backed financing to replace costly bonds, freeing savings for schools.

Overview

  • Finance Secretary Pablo Quirno said negotiations have begun for a market repurchase of sovereign bonds under the 'Debt for Education' framework.
  • JPMorgan was appointed to structure the operation, with multilateral agencies cited as prospective backers to secure lower borrowing rates.
  • Officials say savings from the swap of expensive debt into concessional financing will be allocated to long-term education investment.
  • Argentine dollar bonds flipped higher after the announcement, with gains of up to roughly 2% reported in some issues.
  • Key terms such as size, yields and timing were not disclosed, and President Javier Milei reiterated the $20 billion U.S. Treasury swap would cover 2026 maturities if market access remains shut.