The Curse of the Vulture: Martin Guzman on the Implications of Argentina's Debt Crisis

The Centre for International Governance Innovation

Martin Guzman, a senior fellow with the Centre for International Governance Innovation, talks about the lasting implications of Argentina's debt crisis and how vulture funds prolonged the country's woes. The country’s 2001 default was followed by a complex debt restructuring that included a long legal dispute with so-called vulture funds and other holdout creditors. The full resolution of the sovereign default took almost 15 years. Martin talks about the strategies followed by bondholders, and analyzes the implications of the default resolution for the functioning of sovereign lending markets.