Argentina Warns of Debt Woes If $1.5 Billion Award Not Reversed

  • UK court hears Argentina’s appeal over growth-linked bonds
  • Argentina battling another recession amid shock therapy

The National Congress building in Buenos Aires.

Photographer: Luis Robayo/AFP/Getty Images
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Argentina risks struggling to service some of its debt if it’s forced to pay out $1.5 billion in damages a UK court awarded to investors last year, lawyers for the South American nation have warned.

Hedge funds including Palladian Partners LP last year won a UK High Court ruling that Argentina must compensate investors for losses in the country’s growth-linked securities after it changed the method of calculating gross domestic product.