Upon the closing of an Extended Facility Agreement with the International Monetary Fund, the Argentine government announced a flexibilization of foreign exchange restrictions starting on April 14, 2025. Follows a summary of the most important measures:

1. The U.S. dollar will float within a band between 1,000 and 1,400 Argentine Pesos.

2. The Argentine Central Bank lifted the restrictions on the payment of dividends accrued in the fiscal years starting on January 1, 2025 ,and afterwards.

3. Dividends corresponding to prior fiscal years and intercompany debt will be paid through a new BOPREAL series, which is being designed by the Argentine Central Bank. BOPREAL are bonds created in 2024 to restructure and allow the payment of commercial debt.

4. The so-called “blended rate” for the promotion of exports (80% at the official rate/20% at the free market rate) will be terminated.

5. The terms for the payment of imports have been shortened as follows:

a. Goods, upon their customs clearance, except for small and medium-sized companies, which will be allowed to pay them as from their shipment (the former term was 30 days after the customs clearance);

b. Services, upon their performance (the former term was 30 days after their performance);

c. Capital assets can be paid 30% in advance, 50% upon shipment and 20% upon clearance (formerly it was 20% in advance for small and medium-sized companies only); and

d. The import of services between affiliates can be paid 90 days after the time of performance (formerly, 180 days).

The flexibilization of foreign exchange restrictions has been implemented through the Argentine Central Bank’s Communication A 8226, available at https://www.bcra.gob.ar/Pdfs/comytexord/A8226.pdf