Argentina Foreign Currency Access for Company Debt

As a means to help small- and medium-sized companies (SMEs) pay off up to $500,000 of import-related debt over the next three months, Argentina’s Secretary of Commerce and the Central Bank of Argentina (BCRA) have authorized phased access to the official foreign exchange market for nearly 10,000 SMEs.  

Since many Argentine SMEs cannot pay international suppliers to import raw materials due to the lack of access to dollars, this measure allows SMEs to access dollars for the payment of obligations contracted abroad. Companies notified the government of their outstanding international commercial debt through the Register for Commercial Debt Abroad, which showed that $8.5 billion of registered external debt has been paid without access to the foreign exchange market, leaving a balance of $42.6 billion. SMEs account for $2 billion of this. The plan aims to provide these 10,000 SMEs, almost 70 percent of all total registered companies in the country, with a concrete mechanism to reduce debts.  

To access this special facility, Argentine SME importers had to have registered their debt through the Register for Commercial Debt Abroad, which closed on January 24.

Access to the market will be in phases, with up to $50,000 available since February 10, an additional $100,000 on March 10, and the remainder of the balance after April 10. SMEs with debts over $500,000 will have priority access, beginning in February, to the BOPREAL Series 2 and 3 bonds.

To learn more, see the official announcement from the BCRA.

For additional information, please contact the U.S. Commercial Service in Argentina at Office.BuenosAires@trade.gov.