LONDON, March 23 (Reuters) - The Americas Credit Derivatives Determinations Committee has been asked to decide on whether a potential repudiation or moratorium has occurred on debt issued by the Republic of Argentina, according to a question posted on Monday.
“The republic has repeatedly discussed the need to restructure it’s debt, including formalizing the external law bonds to be included. It has noted that principal will no longer be paid on U.S. dollar bonds,” the question posted on the committee website stated.
Furthermore, in a press conference on Friday, the finance minister reiterated the country was in no position to service principal repayments on its debt, the comment read.
“Given these facts...we believe a potential repudiation/moratorium to have occurred,” the questioner added.
The Americas Credit Derivatives Determinations Committee, made up of nine voting dealers from international banks, is the framework which determines on whether a credit event has occurred and if credit default swaps should be triggered. (Reporting by Tom Arnold, editing by Karin Strohecker)