Argentina has proposed a settlement of 6.5 billion dollars to end a years-long dispute with bondholders related to Argentina's 2001 debt default, the lead mediator said.
Mediator Daniel Pollack called the proposal an "historic breakthrough" in negotiations with holdout bondholders, which include a US-based group led by New York hedge fund NML Capital.
The proposal will be subject to approval by the Argentine parliament, the investor groups and a judge.
President Mauricio Macri, who took office in December, is seeking to settle lawsuits with bondholders who have refused Argentina's past attempts to restructure the 95-billion-dollar default. The lingering lawsuits have impaired the government's plans to borrow in global capital markets.
Most bondholders accepted past debt-restructuring offers, in which Argentina offered about 30 cents on the dollar. Previous governments in Buenos Aires have refused to negotiate with holdouts.
Earlier this week, Argentina reached a 1.35-billion-dollar agreement with a group of Italian investors.