Relevant News

• Restrictions to acquire foreign currency and payments abroad
• Restrictions to securities trading
• Exports of bovine meat
• New value for Company authorities’ mandatory insurance
• Prices Control
• Biofuel regulatory Framework

LEGISLATION

Communication “A” 7374/21 – Access to MULC

By means of Communication “A” 7374/2021, the Central Bank of the Argentine Republic (“BCRA”) provides, among others, certain conditions to be met by local financial entities in order to access MULC to comply their obligations with non-residents regarding financial guarantees issued as of October 1st, 2021.

Communication “A” 7375/21 – Access to MULC

By means of Communication “A” 7375/2021, the Central Bank of the Argentine Republic (“BCRA”) establishes new restrictions to the payment of imports. Among others, the communication provides the following: (a) it reduces to USD 250,000 the quota set forth in Section 10.11.1. of BCRA’s ordered text regarding payment of imports as of January 1, 2020 and includes some concepts which will impact said quota; (ii) it temporarily removes the exception of BCRA’s prior authorization provided for in the foreign exchange regulations for the advanced payment of imports of capital goods and (iii) payment on demand (“pago a la vista”) of imports shipped as from July 1, 2020 shall require BCRA’s prior authorization. These restrictions shall remain in force from October 6, 2021 until October 31st, 2021.

Communication “A” 7385/21 – Access to MULC

By means of Communication “A” 7385/2021, the Central Bank of the Argentine Republic (“BCRA”) establishes, among others, the following: (a) as from November 1st, 2021 BCRA’s prior approval shall not be required in case of payments on demand or payments of commercial debts of import of goods without custom’s entry registry provided that the operation corresponds to the import of supplies to be used in the elaboration of goods in Argentina and that said payments do not exceed the quota set forth in the Communication; (b) the suspension of the exception of BCRA’s prior authorization provided for the advanced payment of imports of capital goods (Section 10.11.7) is maintained until November 30th, 2021; (c) as from December 1st, 2021, the payment of capital goods with custom’s entry registry still pending will be enabled for up to 30% of the total value of the goods to be imported and when the total advance payments of the company under this exception do not exceed 80% of the total value of the goods to be imported, (d) finally, the Communication sets forth that the acquisition in Argentina of foreign bonds which can be settled in ARS shall be considered included under Sections 3.16.3.1., 3.16.3.2. and 4.3.2. of BCRA’s regulations regarding restrictions applicable to the access to the MULC and to operate with securities, respectively.

General Resolution Nº907/21 – Restrictions to Securities Trading

By means of General Resolution Nº 907/2021, the National Securities Commission (“CNV”) sets forth a maximum weekly limit of 50,000 (nominal) for the sale of securities denominated and settled in US Dollars issued under Argentinean legislation. Orders regarding operations with securities with settlements in USD shall proceed if: (ii) during the previous 30 days no operation with securities denominated and payable in USD issued in Argentina under Argentinean law and settled in USD had been executed in the “PPT” segment and (ii) the interested party declares not to perform such operations for the following 30 days.

Decree Nº700/21 – Bovine Meet

Decree Nº 700/21 modifies Decree 408/21 and amendments and provides that the Ministry of Agriculture will administer and determine until December 31st, 2021 the total exportable tons of bovine meet, taking into consideration the normal supply to the domestic meet market, as well as cattle stocks

General Resolution Nº15/21 – New Values of Company’s Authorities Insurance

By means of General Resolution N° 15/2021, the Superintendence of Corporations (“IGJ”) increases the amount of the insurance to be provided by Directors/Managers, which may not be, jointly among all the appointed authorities, less than 60% of the share capital and, individually, may not be less than ARS 300,000 or more than ARS 1,000,000. The Resolution shall become in force and effect 15 days after its publication in the Official Gazette (October 12, 2021) and applicable to the processes initiated as of that date.

Resolution Nº1050/21 – Prices Control

By means of Resolution N° 1050/2021, the Secretary of Commerce set forth the fixation of maximum selling prices to consumers regarding certain products provided therein, applicable until January 7th 2022.

Resolution Nº 5091/21 – Reference Values Applicable to Exportations

By means of Resolution Nº 5091/2021, the General Direction of Customs sets forth new values of reference for the export of certain products provided therein (lemon essential oil).

LATEST NEWS IN THE HYDROCARBON SECTOR

Decree Nº717/21 - Biofuel Regulatory Framework

By means of Decree Nº 717/21, the Executive Branch instructs the Secretary of Energy to review and update all safety, quality and registration existing regulations related to biofuels prior to the issuance of Law 27.640, until which the provisions set forth in Law 13.660, Decree 10.877/60 and Resolution 1296/08 shall temporarily apply. The Decree also provides a 12-month period during which biofuel producing and distilling companies shall comply with the habilitation requirement set forth in section 5 of Law 27.640.

Resolution Nº984/21 – Bidding for the Allocation of Natural Gas Volumes

By means of Resolution Nº 984/21, the Secretary of Energy calls a public bidding process (Round #3) for the allocation of volumes of natural gas produced within the “Neuquina”, “Austral” and “Noroeste” Basins, for the months of May 2022 to December 2024. Offers shall be filed on November 2nd 2021.

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