Moody's: 2010 tougher for Argentina

Moody's Investors Service said it said in a special report that while Argentina's government will likely be able to meet its debt obligations this year, funding options for 2010 are likely to be much reduced.

"On balance, Argentina should have more than enough to finance 2009 needs but if the crisis continues to dampen revenues, 2010 will be much more challenging," said Moody's vice president Gabriel Torres, author of the report.

"A large drop in the primary surplus will force Argentina to use other financing sources," said Torres. "These include central bank financing and its deposits in the local financial system, reducing potential 2010 funding options."

Entering the year in a weaker economic and fiscal position than in 2008, Moody's said it estimated Argentina's debt-related payments at ARS 60 billion and resources of ARS 90 billion.

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