“Both the sale and the exchange of public titles would not imply a patrimonial loss for the public organizations reached. On the contrary, both operations imply equity revaluations at the time they are carried out”, indicated the opinion on the sale and exchange of public entity bonds.
The Faculty of Economic Sciences of the UBA, at the request of the Ministry of Economy, made a report on the operations of sale and exchange of public securities that involves a group of national public sector organizations, according to the provisions of Decree 164 /2023.
He specified that “in the case of the sale of Argentine law titles (Bonars), the capital gain is almost 46% as a result of the sale and subsequent subscription of the dual bond 2036 for 70% of the proceeds,” and added that ” in addition, the organizations receive the remaining 30% in cash”.
In addition, he stressed that “the exchange of global bonds implies an average revaluation of the portfolios of public organizations of around 104% average.”
“Although this valuation is reduced if we take potential market prices of the securities to be exchanged, the result continues to be positive for the organizations reached by this measure (+23.4%)”, stated the opinion of the Faculty.
Likewise, he highlighted that “exchange operations have a neutral effect on the total debt of the consolidated public sector since they only imply a change of assets within the organizations that comprise it.”
