Summary
In the second quarter of 2024, net inflows of foreign direct investment in Argentina were observed for USD 2,385 million, which were mainly explained by debt transactions (USD 1,179 million), followed by capital contributions (USD 652 million). Additionally, net income from reinvestment of profits of USD 496 million and USD 58 million from mergers and acquisitions were recorded.
In year-on-year terms, there was a drop in net income of USD 3,021 million.
The sectors that attracted the highest FDI flows in the second quarter of 2024 were: “Manufacturing industry”, with USD 969 million; “Deposit-taking companies, except the central bank”, USD 900 million and “Mining and quarrying”, with net flows of USD 851 million.
The main source of FDI flows was Brazil, with net inflows of USD 839 million, followed by China, with USD 324 million. Then came Switzerland, with USD 241 million, Canada, with USD 192 million and the Netherlands, with USD 183 million.
The gross passive position of FDI reached USD 165,032 million as of 06/30,24, with equity participations of USD 109,377 million, and debt instruments of USD 55,655 million.
The United States was the main origin of FDI in Argentina, with a stock of USD 30,176 million as of 30.06.24, which represented 18% of the total holdings. In second place was Spain, with a gross passive position of USD 24,602 million (15% of the total), and in third place was the Netherlands, with USD 18,826 million (11% of the total). These three countries accounted for 45% of the FDI stock in Argentina.
