Argentina's 2001 default

Argentina's 2001 default was when the country couldn't meet its debt repayments, totaling around $100 billion, mainly owed to foreign lenders. Facing economic turmoil, high debt levels, and declining revenues, the government stopped paying its bonds. This sudden suspension caused investors to lose confidence, led to a financial crisis, currency devaluation, and a deep recession. The default was a response to unsustainable borrowing and economic mismanagement, marking one of the largest sovereign defaults in history and forcing Argentina to renegotiate its debt terms for years afterward.