Overview
- JPMorgan, Bank of America and Citigroup have shelved a proposed $20 billion bank-led facility for Argentina, according to the Wall Street Journal as cited by Reuters.
- Lenders are instead considering roughly $5 billion in short-term repo financing intended to provide immediate liquidity.
- The repo funds would target an estimated $4 billion debt payment due in January, the reports said.
- The U.S. Treasury previously arranged a separate $20 billion exchange-rate stabilization agreement in October that was expected to be paired with private financing.
- Talks are described as preliminary and subject to change, with Bank of America declining comment and Argentina’s economy ministry not immediately responding.