UPDATE 3-Argentina wants a single deal with all holdout investors

miércoles 27 de agosto de 2014 17:31 GYT

(Adds approval of bill by Senate committee)

By Alejandro Lifschitz

BUENOS AIRES Aug 27 (Reuters) - Argentina's government on Wednesday ruled out further piecemeal debt talks with a small group of U.S. hedge funds and said it needed to strike a single deal with all bondholders that have rejected past restructuring agreements.

Latin America's No. 3 economy fell into default again last month after failing to reach an agreement with a group of holdout funds led by NML Capital Ltd and Aurelius Capital Management, which are suing for full payment on their bonds.

Other funds that have also rejected bond swaps that followed Argentina's record default in 2002 lurk on the sidelines and could launch similar lawsuits.

"We have to negotiate with everyone," Economy Minister Axel Kicillof told a group of congressional committees on Wednesday.

A deal is now not seen likely before next year's October presidential election, in which Fernandez cannot run.

Analysts say the dearth of dollars flowing into Argentina's economy will stretch already-sapped foreign reserves and intensify pressure on a peso that has been hitting one record low after another.

The local currency shed 1.5 percent on the black market on Wednesday to plumb an all-time low of 14.400 as central bank reserves fell to $28.5 billion.   Continuación...