Central Bank eases currency controls amid exchange rate calm

Argentinas Central Bank has moved to further relax foreign-exchange restrictions, taking advantage of a period of relative stability in the currency market to extend relief to both individuals and companies. The measures are part of a gradual strategy aimed at simplifying access to dollars while maintaining the broader framework of capital controls. Fewer restrictions for individuals Among the most notable changes, the Central Bank scrapped the requirement for individuals to convert foreign currency from goods exports into pesos, although they are still obligated to bring those funds into the country. The measure aligns the treatment of goods exported with those already in place for services and is expected to benefit small-scale exporters. In addition, BCRA authorities lifted the previous US$50 limit on cash withdrawals abroad using credit cards a move designed to facilitate access to foreign currency for Argentines traveling overseas. Officials say these changes seek to reduce distortions and streamline day-to-day financial operations for consumers. Companies gain flexibility and longer deadlines For businesses, the new framework provides greater leeway in managing foreign currency flows and financial obligations. The Central Bank extended the deadlines for exporters to settle foreign currency earnings. For intra-company transactions, the period has been lengthened from 60 to 180 days for firms with annual exports of up to AR$S 200 million (close to US$142,000 at the official rate). In sectors such as apparel, deadlines have been expanded from 180 to 365 days, while strategic industries including aerospace and nuclear will also benefit from year-long timeframes, particularly for capital goods. Conditions for servicing corporate debt were also made more flexible. Companies will now be allowed to repay locally issued bonds up to three days before maturity, bringing their treatment in line with international issuances. Broader goal: easing without dismantling controls Beyond specific measures, the Central Bank is also seeking to expand access to financial instruments that allow companies to hedge risks and secure funding, improving predictability in balance sheet management. The latest adjustments reflect a broader policy approach: gradually loosening restrictions as conditions permit, without fully dismantling Argentinas system of exchange controls. The strategy has been supported by recent foreign currency purchases by the Central Bank and a period of relative calm in the exchange market, which policymakers see as an opportunity to normalize operations step by step. With information from mbito