South America

Argentina Introduces Bill To Address Debt Crisis

The country is looking to create a legal framework to repay foreign debt.

Argentina Introduces Bill To Address Debt Crisis
Getty Images

Argentina is looking to solve its debt crisis with a new piece of legislation that improves loan repayment terms.

The country's new government sent the bill to Congress Tuesday. It aims to create a legal framework to address debt terms, interest charges and capital amounts.

In a recent press conference in Buenos Aires, the country's newly tapped minister of economy said: "The situation today in Argentina is critical. We cannot sustain the debt load today, so we have to transform that [debt agreement] into something that is sustainable."

In 2018, under the country's previous administration, the International Monetary Fund agreed to provide Argentina with the biggest bailout in history, more than $50 billion. At the time, Argentina was struggling with rising poverty, inflation and interest rates. 

Reuters reports the country's sovereign debt is now about $100 billion, and it's struggling to make payments.

Argentina's economy minister says the country does plan to pay back the money it owes, but asks for the "necessary time" to do so.