Published
- Information from EKN
EKN broadens its risk coverage framework for Argentina
EKN opens up for assessment of long-term corporate risks in Argentina, provided that the debtor has hard currency earnings or external support. At the same time, the previously increased premium setting for private buyers is being removed.
The decision was made on January 15 and is based on recent years' developments toward macroeconomic stabilization, progress in market reforms, increased predictability in international currency flows, and a more flexible exchange rate. The outcome of Argentina's midterm elections in 2025 also indicated increased political predictability.
The requirement for hard currency earnings means that the debtor has stable and recurring export revenues in foreign currency. External support may, for example, refer to foreign parent company support that strengthens the debtor's ability to meet its payment obligations.
