Sure, its plan to offer investors the chance to exchange their New York-law debt for Argentine- or French-law debt is dead in the water. But when it comes to wholly symbolic acts in the name of the principle of not having to pay your debts, Argentina simply can’t help itself.
After an overnight debate, the legislature's lower house passed the bill under which the government could make payments on an estimated $29 billion in foreign-held bonds either in Argentina or elsewhere out of U.S. jurisdiction….
Fernandez later on Thursday signed the bill into law, asserting it would enable Argentina to pay all its creditors.
Except, of course, that it won’t, as Kirchner’s economics minister has conceded. Because while Argentina seems to want very badly the badge of honor that a contempt of court finding would be, its creditors are somewhat less eager for that plaudit.
Axel Kicillof acknowledged this week that creditors had a low appetite for the plan.