By William Collins, consultant in financial affairs – Eurasia Business News, August 29, 2025. Article no. 1757

Argentina has again tightened foreign exchange (FX) rules for banks as part of an effort to support the strengthening of the peso and ease inflation. The Central Bank of Argentina raised reserve requirements for banks by five percentage points to 50 percent, including cash and remunerated notes, and shifted to daily measurement instead of monthly averages.

Effective immediately, banks can’t increase their daily spot FX position on the last business day of the month, compared with the previous day’s balance. The measure is aimed at limiting end-of-month balance sheet manoeuvres that could amplify demand for dollars and add to pressure on the peso.

These measures aim to absorb liquidity in the economy, especially after the government rolled over just 61 percent of maturing Treasury debt, which threatened to create monetary pressure. The peso strengthened as a result of these policy moves, gaining as much as 1.7 percent to trade around 1,291 pesos per dollar.

This policy also come amid a broader monetary tightening and increased interest rates, which are putting pressure on bank liquidity but are intended to stabilize the currency ahead of October midterm elections.

Read also : Gold : Build Your Wealth and Freedom

Argentina’s gold reserves were reported at approximately 61.74 tonnes as of the second quarter of 2025. This level has remained stable compared to previous quarters in 2025. In terms of value, Argentina’s gold reserves were reported to be worth about 5.573 billion USD as of January 2025, marking a slight increase from the previous month.

Argentina’s GDP in 2025 is projected to grow by approximately 5.2%–5.5% according to major institutions, with nominal GDP estimates ranging from about $683 billion (nominal) to $1.8 trillion (PPP) for the year.

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© Copyright 2025 – Eurasia Business News. Article no. 1757