Hostname: page-component-77c89778f8-m8s7h Total loading time: 0 Render date: 2024-07-17T10:01:56.076Z Has data issue: false hasContentIssue false
  • English
  • Français

The Inextricable Link between Sovereign Debt and Pensions in Argentina, 1993–2010

Published online by Cambridge University Press:  02 January 2018

Giselle Datz
Giselle Datz*
Affiliation:
Virginia Tech University
Get access Rights & Permissions [Opens in a new window]

Abstract

Established with the reform of 1993, Argentina’s private pension funds became crucial sources of credit for the national government. They purchased large amounts of sovereign bonds defaulted on in 2001 and hence were key to the success of the debt restructuring of 2005. The private pillar was always vulnerable to political maneuvering; the nationalization of private pension funds in 2008 was only the last stage in an iterated process of state intervention, a function of public debt dynamics. This article argues that the financial pressures associated with Argentina’s sovereign debt burden systematically shortened the temporality of pension policy decisions, taking those away from long-term concerns about the stability of the social security system and toward the immediacy of debt-financing imperatives. Therefore, the politics of pension reform reversal in Argentina were determined by the increasingly strong and inextricable link between debt and pensions.

Type
Research Article
Information
Latin American Politics and Society , Volume 54 , Issue 1 , Spring 2012 , pp. 101 - 126
Copyright
Copyright © University of Miami 2012

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Administración Nacional de la Seguridad Social (Anses). 2008. Fondo de Garantía de Sustentabilidad del Régimen Previsional Público de Reparto. Noviembre. Buenos Aires : Anses.Google Scholar
Administración Nacional de la Seguridad Social (Anses). 2010. Fondo de Garantía de Sustentabilidad del Sistema Previsional Argentino. Informe Mensual Agosto. Buenos Aires : Anses.Google Scholar
Arza, Camila. 2008. The Limits of Pension Privatization: Lessons from Argentine Experience. World Development 36, 12: 2696–2712.Google Scholar
Auguste, Sebastián and Artana, Daniel. 2006. Pension Fund Investment Performance: The Case of Argentina, Colombia, Chile and Peru. Buenos Aires : FIEL.Google Scholar
Baer, Werner and Montes-Rojas, Gabriel. 2008. From Privatization to Re-nationalization: What Went Wrong with Privatizations in Argentina? Oxford Development Studies 36, 3: 323–37.Google Scholar
BBC News. 2001. Argentina Seizes Pension Funds. December 7. http://news.bbc.co.uk/2/hi/business/1696010.stm.Google Scholar
Bertranou, Fabio, Calvo, Esteban and Bertranou, Evelina. 2009. Is Latin America Retreating from Individual Retirement Accounts? Working Paper no. 9–14. Boston : Center for Retirement Research, Boston College.Google Scholar
News, Bloomberg. 2004. Argentina's Kirchner Boosts Approval on Imf Clash. January 6. http://www.bloomberg.com/apps/news?pid=newsarchive&sid=afHs6wHOB6JI&refer=latin_america.Google Scholar
Brooks, Sarah. 2007. Globalization and Pension Reform in Latin America. Latin American Politics and Society 49, 4 (Winter): 31–62.Google Scholar
Brooks, Sarah. 2009. Social Protection and the Market in Latin America. New York : Cambridge University Press.Google Scholar
Buscaglia, Marcos. 2002. The Economics and Politics of Argentina's Debacle. Unpublished mss.Google Scholar
La Capital (Rosario). 2003. Afjp: el gobierno ahora da pelea bajando las comisiones del Nación. October 1. http://archivo.lacapital.com.ar/2003/10/01/economia/noticia_40683.shtml.Google Scholar
CIO, of one of the largest Argentine pension funds. 2005. Author interview. Buenos Aires, November.Google Scholar
Clarín (Buenos Aires). 2005. Arrancó el canje con la entrada de las Afjp y algunos pequeños ahorristas. January 14. http://edant.clarin.com/diario/2005/01/14/um/m-904076.htm.Google Scholar
Clarín (Buenos Aires). 2006. Los cupones del Pbi subieron 6,4%. November 14. http://edant.clarin.com/diario/2006/11/04/index_diario.htm.Google Scholar
Clarín (Buenos Aires). 2007. La deuda tiene dueño. April 26. http://www.ieco.clarin.com/economia/deuda-dueno_0_171300001.html.Google Scholar
Clarín (Buenos Aires). 2008. Cristina defendió con fuerza la reestatización de jubilaciones y negó que sea “por la caja.” October 21. http://edant.clarin.com/diario/2008/10/21/um/m-01786162.htm.Google Scholar
Clarín (Buenos Aires). 2009a. La AnseS le presta barato al tesoro: 8,5% anual en pesos. April 23. http://edant.clarin.com/diario/2008/04/23/elpais/p-01901.htm.Google Scholar
Clarín (Buenos Aires). 2009b. Por la recompra de títulos, se ahorraron Us$900 millones. June 1. http://edant.clarin.com/diario/2009/06/01/elpais/p-01930170.htm.Google Scholar
Clarín (Buenos Aires). 2010. La deuda tiene un dueño. September 26. http://www.ieco.clarin.com/economia/deuda-dueno_0_342566008.html.Google Scholar
El Cronista (Buenos Aires). 2008a. Las Afjp, con récord histórico de posiciones cash. May 25.Google Scholar
El Cronista (Buenos Aires). 2008b. El derrumbe de los títulos soberanos ya da negativo en el saldo de las Afjp. July 10.Google Scholar
El Cronista (Buenos Aires). 2008c. Por la crísis financiera, el gobierno saldría a rescatar a las Afjp. October 20.Google Scholar
El Cronista (Buenos Aires). 2008d. Cristina y Afjps: no es estatización sino cambio de administración. October 30.Google Scholar
El Cronista (Buenos Aires). 2008e. Cristina dió explicaciones a Zapatero por aerolíneas y Afjp. October 31.Google Scholar
El Cronista (Buenos Aires). 2008f. Se vota hoy el fin de las Afjp y todos los ojos caerán sobre el control de los fondos. November 6.Google Scholar
El Cronista (Buenos Aires). 2008g. Boudou: con la plata de las Afjp sostendremos la economía. November 21.Google Scholar
El Cronista (Buenos Aires). 2008h. Ya en diciembre el gobierno se ahorrará Us$313 millones por la estatización de las Afjp. December 5.Google Scholar
El Cronista (Buenos Aires). 2008i. Es oficial el traspaso de los aportes de las Afjps de la Anses. December 9.Google Scholar
El Cronista (Buenos Aires). 2010a. Más Kirchner y menos mercado: Bcra y Anses suplantan canje sin fondos frescos. June 24.Google Scholar
El Cronista (Buenos Aires). 2010b. Emitió dos letras del tesoro al organismo previsional, en pesos y en dolares. June 30.Google Scholar
El Cronista (Buenos Aires). 2010c. En el último año y medio aumentó la colacación de bonos intra sector público. July 8.Google Scholar
Datz, Giselle. 2009. What Life after Default? Time Horizons and the Outcome of the Argentine Debt Restructuring Deal. Review of International Political Economy 16, 3: 456–84.Google Scholar
Felder, Ruth. 2009. State Intervention and Economic Recovery in Kirchner's Argentina. Paper presented at the 2010 LASA Convention, Rio de Janeiro, June 11–14.Google Scholar
Fernández de Kirchner, Cristina. 2009. La jubilación no puede ni debe ser un negocio. La Capital: Diario de Mar Del Plata, October 28.Google Scholar
Financial Times (London). 2007. Argentina Marks a Self-Reliance Milestone. February 8. http://www.ft.com.Google Scholar
Financial Times (London). 2010. Argentina's Unexpected Triumph Boosts Its Global Ambitions. June 23. http://blogs.ft.com/beyond-brics/2010/06/23/update-argentinas-unexpected-triumph-boosts-its-global-ambitions/#axzz1i56nV5zV.Google Scholar
González Escudero, Alejandro. 2008. Verdades y mentiras sobre las Afjps. El Cronista, November 18.Google Scholar
Grugel, Jean and Riggirozzi, María Pia. 2007. The Return of the State in Argentina. International Affairs 83, 1: 87–107.Google Scholar
Haggard, Stephan and Kaufman, Robert. 2008. Development, Democracy, and Welfare States. Princeton : Princeton University Press.Google Scholar
Haussman, Ricardo and Velasco, Andrés. 2002. The Argentine Collapse: Hard Money's Soft Underbelly. Brookings Trade Forum (July): 59–104.Google Scholar
Kay, Stephen J. 2003. Pension Reform and Political Risk. Paper prepared for the 24th LASA International Congress, Dallas, March 27–29.Google Scholar
Kay, Stephen J. 2009. Political Risk and Pension Privatization: the Case of Argentina (1994–2008). International Social Security Review 62, 3: 1–21.Google Scholar
Krueger, Anne. 2002. Should Countries like Argentina Be Able to Declare Themselves Bankrupt? El Pais (Madrid), January 18.Google Scholar
Levitsky, Steven and Murillo, María Victoria. 2005a. Building Castles in the Sand? The Politics of Institutional Weakness in Argentina. In Argentine Democracy: The Politics of Institutional Weakness, ed. Levitsky, and Murillo, . University Park : Pennsylvania State University Press. 21–61.Google Scholar
Levitsky, Steven and Murillo, María Victoria. 2005b. Theorizing About Weak Institutions: Lessons from the Argentine Case. In Argentine Democracy: The Politics of Institutional Weakness, ed. Levitsky, and Murillo, . University Park : Pennsylvania State University Press. 269–89.Google Scholar
Levitsky, Steven and Murillo, María Victoria. 2008. Argentina: from Kirchner to Kirchner. Journal of Democracy 19, 2: 16–30.Google Scholar
Machinéa, José Luiz. 2002. La crisis de la deuda, el financiamiento internacional y la participación del sector privado. Serie Financiamiento del desarollo no. 117. Santiago : CEPAL.Google Scholar
Madrid, Raúl L. 2003. Retiring the State: The Politics of Pension Privatization in Latin America and Beyond. Stanford : Stanford University Press.Google Scholar
MercoPress (Montevideo). 2007. Argentine Pension Fund Reform Proposal Gets Mixed Marks. February 1. http://en.mercopress.com/2007/02/01/argentine-pension-fund-reform-proposal-gets-mixed-marks.Google Scholar
Mesa-Lago, Carmelo. 2009. La ley de reforma de la previsión social argentina. Nueva Sociedad 219 (enero–febrero): 14–30.Google Scholar
Mussa, Michael. 2002 Argentina and the Fund: From Triumph to Tragedy. Washington, DC : Institute for International Economics.Google Scholar
La Nación (Buenos Aires). 2003. Lavagna: las Afjp cometieron un error. August 9. http://www.lanacion.com.ar/518120-lavagna-las-afjp-cometieron-un-error.Google Scholar
La Nación (Buenos Aires). 2004. Aumentan los traspasos entre las Afjp. May 12. http://www.lanacion.com.ar/600087-aumentan-los-traspasos-entre-las-afjp.Google Scholar
La Nación (Buenos Aires). 2005. La bolsa subió 2,09% y cerró la semana con otro récord. February 5. http://www.lanacion.com.ar/677202-la-bolsa-subio-209-y-cerro-la-semana-con-otro-record.Google Scholar
La Nación (Buenos Aires). 2007a. No imaginó un gran migración. February 4.Google Scholar
La Nación (Buenos Aires). 2007b. Introducen un cambio a la reforma previsional. February 6. http://www.lanacion.com.ar/881390-introducen-un-cambio-a-la-reforma-previsional.Google Scholar
La Nación (Buenos Aires). 2008. Sindicatos de la Cgt y el estado son dueños de algunas Afjp. October 21.http://www.lanacion.com.ar/1061717-sindicatos-de-la-cgt-y-el-estado-son-duenos-de-algunas-afjp.Google Scholar
La Nación (Buenos Aires). 2010a. ¿Recurso previsional o caja política? June 10.Google Scholar
La Nación (Buenos Aires). 2010b. Contra ciertos prognósticos, al canje adhirio el 66%. June 23. http://www.lanacion.com.ar/nota.asp?nota_id=1277866.Google Scholar
La Nación (Buenos Aires). 2010c. El gobierno venderá otro título en dólares a la Anses. September 11. http://www.lanacion.com.ar/nota.asp?nota_id=1303438.Google Scholar
Perry, Guillermo and Servén, Luis. 2002. The Anatomy of a Multiple Crisis: Why was Argentina Special and What Can We Learn from It? Mimeograph.Google Scholar
Pierson, Paul. 2004. Politics in Time. Princeton : Princeton University Press.CrossRefGoogle Scholar
Rambarran, Jwala. 2004. Argentina's Sovereign Default and the Imf: Global Financial Governance in a Tailspin. Mimeograph.Google Scholar
Reuters . 2005. Hedge Funds Take a Chance on Argentine Debt. February 2.Google Scholar
Reuters . 2006. Argentina Economic Growth Quickens in May. July 18.Google Scholar
Rodrik, Dani. 2002. Reform in Argentina, Take Two: Trade Rout. New Republic, January 14.Google Scholar
Rofman, Rafael P. 2000. The Pension System in Argentina: Six Years After the Reform. Social Protection Discussion Paper no. 0015. Washington, DC : World Bank.Google Scholar
Rofman, Rafael P. 2002. The Pension System and the Crisis in Argentina: Learning the Lessons. Background Paper for the Regional Study on Social Security Reform. Washington, DC : Office of the Chief Economist, Latin American and Caribbean Region, World Bank.Google Scholar
Rofman, Rafael, Fajnzylber, Eduardo and Herrera, Germán. 2009. Reforming the Pension Reforms: the Recent Initiatives in Argentina and Chile. Unpublished mss.Google Scholar
Scartascini, Carlos, Stein, Ernesto and Tommasi, Maríano. 2009. Veto Players, Intertemporal Interactions and Policy Adaptability: How Do Political Institutions Work? Working paper no. 645. Washington, DC : Inter-American Development Bank.Google Scholar
Spiller, Pablo and Tommasi, Maríano. 2007. Political Institutions, Policymaking Processes, and Policy Outcomes in Argentina. In Policymaking in Latin America: How Politics Shapes Policies, ed. Stein, Ernesto and Tommasi, . 2007. Washington, DC : Inter-American Development Bank.Google Scholar
Superintendencia de Administradoras de Fondos de Jubilaciones y Pensiones (SAFJP). 2008. Informe Periódico. Buenos Aires : SAFJP.Google Scholar