Argentina seeks approval for holdout payment and 'Super RIGI' investment law

Argentina's government is pushing to advance two significant economic initiatives in Congress today: settling a $171 million debt with holdout funds Bainbridge and Attestor, and approving the "Super RIGI" investment regime. The "Super RIGI" is designed to attract investments exceeding $1 billion by offering substantial fiscal, customs, currency, and regulatory benefits over 30 years.

The legislative session, supported by allies who recently blocked an interpellation of spokesperson Manuel Adorni, will begin with the resignation of libertarian deputy Adrián Ravier, who will assume his new role. He will be replaced by Martín Matzkin. The agenda also includes debates on international agreements concerning double taxation, tax evasion with France, illegal fishing, and social security with Switzerland and San Marino.

The agreement with the holdouts has already passed the Senate, and the government aims to make it law today. The "Super RIGI," however, starts its legislative journey in the Chamber of Deputies, where the ruling party seeks its approval to send it to the Senate. The regime promises a reduced 15% income tax rate, tax and currency stability, import-export duty exemptions, accelerated investment amortization, reduced payroll contributions, and progressive foreign exchange liberalization.

Furthermore, the "Super RIGI" allows investors to pursue international arbitration in cases of disputes with the Argentine state. It also designates rights granted under the regime as "protected investments" under international treaties, potentially shielding them from future regulatory changes. Critics from the opposition argue that the "Super RIGI" offers excessively broad benefits, describing it as a "tailor-made suit" for large technology firms, particularly those in the tech sector, without specifying which industries will benefit most.