United States Urges Tougher Curbs On Citigroup's Argentina Crisis
- Citigroup faces an order to freeze interest payment to Argentina bondholders, following an order imposed by a US district judge.
- If the bank does not disburse payments to bondholders, it could face penalties and sanctions in Argentina.
- Citigroup could lose up to $80 million due to the response from Argentina, following the default.
- The group warned of the bank suffering in terms of lower revenues and funding costs, plus a limit to hedging against its investment in the country.
- The group currently holds about $2 billion worth of deposits in Argentina. As of 30 June, the group had assets worth $2.7 billion in the country.