BUENOS AIRES: Argentina’s government said Monday it will suspend taxes on grain exports as it seeks to woo farmers and revive the economy ahead of legislative elections.
Presidential spokesman Manuel Adorni said on X that these taxes will be eliminated until October 31.
The tax change comes as Argentina is seeking a loan from the US Treasury to cover debt that is falling due and to calm jittery financial markets.
The Argentine peso has been falling sharply since libertarian President Javier Milei’s party was trounced by the center-left Peronist movement in a Buenos Aires provincial election on September 7.
This was seen as a litmus test for national legislative elections scheduled for October 26.
Milei is scheduled to travel to the United States this week and meet with US President Donald Trump Tuesday on the sidelines of the UN General Assembly in New York.
US Treasury Secretary Scott Bessent voiced support for Argentina in an X post Monday.
“Argentina is a systemically important US ally in Latin America, and the @USTreasury stands ready to do what is needed within its mandate to support Argentina,“ he wrote.
“All options for stabilization are on the table.”- AFP
