(Bloomberg) -- The province of Buenos Aires, Argentina's largest, is following the footsteps of the national government in requesting a three-year debt moratorium.
The provincial government proposed to start paying 1.97% coupons in 2023 that will increase over time, according to a statement. Once the coupons reach their caps, the average interest will be 4.56% for dollar-denominated bonds and 2.94% for euro bonds, an offer that would lead to savings of 55% in coupon payments from 2020-2027.
The request for a grace period is similar in structure to an offer by the national government last week. Argentina officially launched a proposal on Wednesday to restructure $65 billion of bonds and push back interest and capital payments to save some $40 billion.
Read More: Argentina Debt Offer Delays Most Principal Until Next Decade
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