LONDON (Reuters) -Argentina must pay nearly 310 million euros ($336 million) in escrow in order to bring an appeal after losing a lawsuit brought by four hedge funds over euro-denominated securities, a London court ruled on Thursday.
The South American republic was in January given permission to appeal against a 2023 ruling which left the country facing a 1.56 billion euro bill on condition Argentina paid the sum into court pending the outcome of the case.
The granting of permission was a boost for Argentina, whose economy is already buckling under high debt loads, inflation running at more than 200% and a myriad of capital controls to protect the peso.
Argentina’s lawyers, however, argued that it should not be required to pay hundreds of millions of dollars to be able to pursue its appeal.
Judge Stephen Phillips ruled on Thursday that Argentina should have to pay just under 310 million euros, representing roughly 20% of the total bill, in order to appeal.
He said in a written ruling that “there is a very high risk that the republic will find the funds to appeal both to this court and, if permitted, to the Supreme Court, but will not pay the judgment if unsuccessful”.
Phillips gave Argentina until April 5 to pay the sum.
(Reporting by Sam Tobin, Editing by Kylie MacLellan)
