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Argentina Is Rebuffed by U.S. Supreme Court. Now What?

Currency exchange rates are reflected in a window in Buenos Aires
Currency exchange rates are reflected in a window in Buenos AiresPhotograph by Diego Levy/Bloomberg

The U.S. Supreme Court didn’t yield an inch to Argentina today, declining without comment to hear the country’s request for relief from insistent bondholders. As Bloomberg News reports, the high court left intact lower-court rulings that may force Argentina to pay billions of dollars to holders of bonds that the country has tried to repudiate.

The case has far-reaching implications for any other country that seeks to reduce or stretch out payments on foreign debt. “I’m reeling a little bit. … It’s clearly the worst possible outcome,” says Eric LeCompte, executive director of Jubilee USA Network, the U.S. affilate of a global network of religious and other organizations that says it has helped win more than $130 billion in debt relief “to benefit the world’s poorest people.”