A new initiative to resolve Argentina’s lingering dispute with holders of its defaulted bonds – who claim they are owed $29bn with interest – has been launched by Barclays Capital, Deutsche Bank and Citibank.

The plan, which is being studied by President Cristina Fernández, has received a mixed reception, but Hernán Lorenzini, Finance Secretary, said the banks had given assurances that holders of about half the bonds in default would back it.