Measures to Safeguard Exchange Rate Stability and Savers

September 1, 2019. Today, the Board of the BCRA adopted Communication A6770 to regulate the inflow and outflow of foreign exchange in the market in order to maintain exchange rate stability and protect savers. Under this communication, natural and legal persons may continue withdrawing dollars from their bank accounts, the regular development of foreign trade is not affected, and there is no restriction to travelling abroad.

In addition, this new regulation compels exporters of goods and services to exchange their foreign currency earnings in the domestic market. Since September 2, 2019, export earnings in dollars must be exchanged within 15 business days for commodities or 180 days following the date of the shipping permit (5 business days after collection). As for exports (including advance payments and pre-financing) prior to September 2, 2019 which are pending collection, dollars must be exchanged within 5 business days after being collected.

In turn, there are no restrictions on the purchase of foreign currency for foreign trade purposes.

Resident legal persons may purchase foreign currency to make import payments or repay debts upon maturity without restrictions. However, they will require the BCRA’s approval to purchase foreign currency intended to build up foreign assets, make early repayment of debts, and transfer earnings and dividends abroad.

Individuals will have no limitation to buy foreign currency for up to USD 10,000 a month, but will require the BCRA’s approval for larger amounts. Purchases above USD 1,000 must be carried out by debiting a peso-denominated account. No amount in excess of USD 10,000 a month per person may be transferred abroad, except for transfers between accounts held by the same holder; in this case they are not subject to limitations.

Non-resident natural and legal persons may purchase up to USD 1,000 a month, but may not transfer them abroad.