Analysis

Cambiemos win to facilitate Argentina's economic liberalisation agenda
OBG
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Since taking office in December 2015 President Mauricio Macri has implemented sweeping reforms to improve the Argentine economy, incentivise private sector development and increase investor confidence. However, after 15 years of interventionist policies some lawmakers and segments of the population have protested these efforts. The landmark win of President Macri’s Cambiemos (Let’s Change) coalition…

Analysis

New construction law supports greater foreign participation in Argentina
OBG
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With the goal of improving domestic quality of life and increasing the competitiveness of production, Argentina’s government is working to boost infrastructure, with plans to attract $26.5bn in public-private partnership (PPP) investment over the 2018-22 period to support inclusive development. As part of these efforts, the authorities introduced the PPP Contracts Law, No. 27328, in November…

Analysis

Public-private partnerships to fund transport infrastructure projects in Argentina
OBG
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 In March 2018 the Ministry of Transport (MoT) announced that it would invest AR131bn ($6.8bn) in transport infrastructure projects in 2018, 32% more than the amount invested in 2017. Guillermo Dietrich, the minister of transport, said at the time that the additional investment is possible due to the ministry having saved some AR71bn ($3.7bn) as a result of greater transparency and more efficient…

Analysis

Argentina's liberalisation efforts in aviation coincide with sector growth
OBG
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 New incentives for private carriers, improved infrastructure and expanded travel options are driving growth in Argentina’s aviation sector, with increased competition coinciding with higher passenger numbers. In early April 2018 Guillermo Dietrich, the minister of transport, announced a series of measures to encourage international carriers to enter the aviation market. Addressing a…

Analysis

Argentine software and IT development need more incentives and personnel
OBG
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In 2017 Argentina’s software industry enjoyed a record year with exports totalling $1.7bn, breaking the previous record established in 2012 of $1.5bn and 28.3% higher than in 2016. Another positive saw the number of industry professionals to rise 3.2% to 107,100, according to the Chamber of the Argentine Software Industry (Cámara de la Industria Argentina del Software, CESSI). Meanwhile,…

Analysis

New investments and union negotiations bode well for Argentina's fisheries sector
OBG
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With more than 5000 km of coastline and important stocks of hake, shrimp, squid and other marine species, the Argentine fishing industry has long been a central pillar for the economies of the country’s southern states, and an important source of export revenue. Under previous governments, however, the industry lost competitiveness due to underinvestment and high costs. If the current government…

Analysis

Free-market policies to diversify Argentina's agriculture sector
OBG
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For 20 years the soybean has been at the heart of Argentina’s agricultural boom. From 1996 to 2014 soybean production increased from 11m tonnes per annum to more than 60m tonnes as global demand for the versatile product grew rapidly. However, over the last decade the continued expansion of soybean cultivation has taken place at the expense of other key staples, such as maize and wheat. Under…

Analysis

Analysis of regulations designed to drive Argentina's economy
OBG
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 Inaugurated in December 2015 the government of President Mauricio Macri has decided to open up the country after years of isolation, which has resulted in a deep cultural change in the legal sector. Foreign Investments Law The Foreign Investments Law was created to promote and attract foreign investments. This law expressly recognises the right of foreign investors to be treated equally…

Analysis

Argentina's natural assets and gastronomical tradition attract tourists
OBG
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 While Argentina is expanding its general domestic and international tourism market, it is also building on its comparative advantage to develop niche tourism offerings. Making use of its natural resources and gastronomy culture, the country is developing both wine and ecotourism. Meanwhile, it is also emerging as a regional destination for medical tourism, including both life-saving surgeries…

Overview

Impacts of global trend towards lower corporate tax rates
OBG
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Recent decades have seen a downward convergence in corporate tax regimes as advanced, emerging and developing economies moved to grab a bigger slice of the global investment pie. Headline corporate tax rates have fallen by 20 percentage points since the early 1980s. Alongside lower average rates, special tax incentives aimed at capturing investment have emerged, further reducing the effective rates…