Pension funds forced to bring ARG$8 BL into Argentina

Argentine Economy Minister Miguel Peirano

As Ambito Financiero anticipated 72 hours ago, Argentine administration will force Retirement and Pension Funds Administrative Bureaus (AFJP) to repatriate ARG$8 billions. This discourages future pensioners of private sector. Such measure makes dollar low easier and it may improve financing of current administration as well as that of the next one. This is a clear state intervention, which does not boost investments, since it appeals to options not envisaged in regulations. Understandably, bonds plunged and country-risk climbed 3 per cent.