In Argentina, Javier Milei wants to attract large investments with generous conditions

The acronym regularly comes up in the executive's statements and could, on its own, according to the ultra-liberal Argentine president, Javier Milei, trigger "an incredible wave of dollars" . The "RIGI", or "incentive regime for large investments", will apply to a new project, according to a resolution published on June 3: an investment in lithium - of which Argentina has the third largest reserves in the world - in the northwest of the country, by the Anglo-Australian company Rio Tinto, amounting to 2.7 billion dollars (2.3 billion euros). In the absence of a public policy for economic development, a consequence of the libertarian ideology carried by the government in power since December 2023 , the RIGI represents a pillar of its growth strategy, intended to encourage large foreign and national investments.

The incentive scheme offers very advantageous conditions: no tax increase on these projects for thirty years, no customs duties on imports, reimbursement of the equivalent of VAT, non-taxation of exports resulting from the investment, etc. This concerns investments of more than 200 million dollars, in various so-called strategic sectors: oil and gas, mining, renewable energies, forestry, steel, technology, infrastructure and tourism.

You have 76.44% of this article left to read. The rest is reserved for subscribers.