Argentina's government said it would seek up to US$1.0bn in financing via US dollar-linked bonds, marking the country's third bond issuance in local markets this year.
The country sold 10bn pesos (US$1.18bn) in two-year bonds last month and 5.5bn pesos in three-year bonds in March, Bloomberg reported.
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Argentina has not sold debt in international markets since its major sovereign default in 2001.
The dollar-linked bonds will be denominated in dollars, subscribed in pesos at the current official exchange rate and paid at the official exchange rate on the third working day prior to the payment date, the country's ministry of economy (MEcon) said in a release.
The bonds will be issued on October 28 and mature on the same date in 2016, paying an annual interest rate of 1.75%.
The move comes amid increasing fears of further devaluation of the local currency in Argentina.
In his first meeting with private sector banking executives, the country's new central bank president, Alejandro Vanoli, said that the currency would not be devalued further.
However, the government's selective default in July caused capital flight to accelerate again as well as the black market exchange rate which lost 19% against the dollar between July and October, according to a research note by Capital Economics.
The current official exchange rate in Argentina is around 8 pesos per US dollar, while the black market rate is currently around 14.50 per US dollar.
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