Argentine President: “We are posing, then, that a new global financial order is not just fair and equitable, but absolutely necessary”
July 18, 2014 • 9:42AM

At the July 16 meeting in Brasilia of heads of state of the BRICS nations and those of the Union of South American Nations (Unasur), Argentine President Cristina Fernandez was the second speaker of the session, following host Brazilian President Dilma Rousseff, and gave a feisty presentation on her government’s battle with the vulture funds, as well as making a passionate call for a more just global financial system, capable of meeting the urgent needs of the world’s population.

“We are posing, then, that a new global financial order is not just fair and equitable, but absolutely necessary,” she said.

Such a system, she said, “is indispensable.” All countries “are called upon to join forces in this real crusade for a new global political, economic and financial organization that has positive political, social and cultural consequences for our nations...”

In statements to the media, Fernandez reported also that all the BRICS and Unasur heads-of-state offered their strong support for Argentina, for which she expressed her gratitude.

In her speech, Fernandez ripped into the vultures’ scheme to overturn Argentina’s 2005 and 2010 restructuring, exposing them as predatory speculators who never invested in Argentina, but only bought up defaulted debt to make a killing later. Here, she said, the BRICS are discussing real issues and real needs of development and job creation, and then we’re faced with the obscene example of these scavengers who exist only to loot nations. Argentina has paid its debt, she said, and will continue to pay. There will be no default. The vultures and allied U.S. courts have effectively confiscated our payment to the bondholders. But, we’ve met our obligations, she said; the matter is out of our hands.

She also exposed the vultures’ resource grab, reflected in the full-page ad put out July 16 by the vulture-run American Task Force Argentina (ATFA), which warned that unless the government paid the vultures, it would drive away investors in the giant Vaca Muerta shale oil/gas reserve. But it also complained that Argentina intended to “mortgage” Vaca Muerta to Russia and China.

In her Brasilia speech, and also in a full-page ad issued by the Presidency Thursday, Fernandez charged that the vultures’ only goal is to plunge Argentina again into over-indebtedness and “take over its strategic resources.” If Argentina pays the vultures, new claims will amount to $120 billion or more, forcing the country to borrow “under the permanent threat of default.” ATFA’s charge that Argentina planned to mortgage Vaca Muerta to China and Russia was “offensive,” she said -- which didn't prevent the group from charging today, in a statement entitled “President Kirchner: Nobody will Invest in Vaca Muerta After a Default,” that Fernandez only went to Brasilia “to offer Argentina’s natural resources to Russia and China in exchange for a new line of credit.”