Minister of Economy, Luis Caputo, announced the launch of a credit line in US dollars from Banco de la Nación Argentina (BNA) aimed at urban and suburban real estate developments.
Caputo explained that the new financing tool will have its own capital of USD 500million and terms of up to 72 months, with rates he described as "super reasonable". He also emphasized that developers will have the option to transfer the credit to the mortgage buyer, thus allowing financing to continue along the chain.
Luis "Toto" Caputo, ministro de Economía.
"Yesterday I had a meeting with Banco Nación, which has its own capital of USD 500 million, and will provide a dollar line for urban and suburban developments for 72 months, at super reasonable rates, with the additional option that you can later transfer that credit to the mortgage buyer, meaning the chain continues", he stated.
The head of the Treasury indicated that, although rates in pesos remain high and with short terms, there are financing alternatives in US dollars that may be more convenient for medium- and long-term projects. He also suggested the possibility that other financial institutions may join this initiative.
In his presentation, Caputo highlighted progress in macroeconomic indicators since the beginning of Javier Milei's administration, such as the reduction of inflation, GDP growth, and credit expansion.
He also criticized provinces and municipalities for increasing tax pressure and, in his words, for the persistence of irregular payments: "The macro is what gives you space to flourish. It's no coincidence that the number of employers hasn't grown since 2007. It's no coincidence that the number of employees in the country hasn't grown since 2011. That's precisely because the macro was disordered".
Luis "Toto" Caputo, ministro de Economía.
The minister stressed the need to deepen the agenda of tax reduction and economic deregulation to promote private investment: "We have to keep lowering taxes, deregulating, and you pushing back against governors and mayors, grow the capital market, and macro stability is essential for that because it generates long-term investment, and you should think about having structures ready to capture that financing".
Although he avoided referring in detail to the current situation, his intervention took place in a context marked by a peso debt auction for nearly 15 trillion pesos (33.07 billion dollars) and the publication of July's inflation data, events that are drawing the attention of investors and economic authorities.
"We try to communicate, I don't know if well or badly, because we believe a lot depends on this. Once you've solved the essential problems, the biggest problem is convincing you (the private sector) who have the capital, who can do the development, move the economy, because this time it's different", he concluded.
