Argentina flexes foreign exchange controls

On Friday, the Argentine government announced the partial lift of foreign exchange controls for companies and individuals. Argentina will allow the Peso to freely trade within a currency band that ranges from AR $1,000 to AR $1,400 per dollar. The band will expand 1% each month.

Individuals will be allowed to access the official FX market freely, while companies will be allowed to access the official FX market under the follow conditions, as set forth by the Argentine Central Bank:

-          All interests accrued with affiliate companies as of January 1, 2025, shall be freely payable;

-          All dividends to non-resident shareholders that correspond to revenues from financial statements starting January 1, 2025, shall be freely payable.

The Central Bank also flexed certain existing restrictions related to the payment of imported goods and services, shortening the term for access to the foreign exchange market or, as in the case of services, eliminating the previous 30-day term.