On December 21, 2023, Decree 70/2023, known as “Foundations for the Reconstruction of the Argentine Economy” was published in the Official Gazette.
This decree, issued by the National Executive Power, establishes initial measures to extensively deregulate the economy and reform the State, impacting areas such as labor, trade, health, among others.
The governments foresees to complete with other reforms to be enacted later on. Clearly this government has not adopted a gradualist approach and is tackling the problems of Argentina rapidly and expeditiously. As long as we study these laws and regulations, we will keep you updated with the news. We are living good times in Argentina, like the Chinese curse “…may you live interesting times”.
Key Points:
- Declaration of Emergency: Public emergency declared until December 31, 2025, in economic, financial, fiscal, administrative, pension, tariff, health, and social matters.
- Economic Deregulation: Repeal of laws related to commercial promotion, price observatory, shelves, shortages, Buy Argentine, and other laws related to trade, health, motor vehicle property, among others.
- State Reform: Repeal of laws on state-owned companies, pensions, and modifications to the State Reform Law to privatize public companies.
- Labor Legislation: Changes in labor laws such as Employment Contracts, Collective Agreements, and flexibility in various aspects.
- Foreign Trade: Modifications to the Customs Code to simplify procedures and allow individuals to handle customs clearances without a customs broker.
- Bioeconomy, Mining, and Energy: Repeal of laws related to rural lands, viticulture, energy, among others.
- Air Transport: Implementation of an “open skies” policy and authorization for the transfer of shares in Aerolíneas Argentinas and Austral to their employees.
- Contractual Obligations: Changes in the Civil and Commercial Code, reinforcing the principle of autonomy of the will (pacta sunt servanda).
- Health: Changes in laws related to drugs, prepaid medicine, and other regulations related to health.
- Communication Services: Modifications to the law on audiovisual communication services to eliminate limits on licenses.
- Corporate Governance: Changes in the General Companies Law allowing partners of non-profit entities with an aggravated majority (2/3) to transform into commercial companies.
- Tourism: Repeal of laws related to tourist establishments, travel agents, and time-sharing systems.
- Motor Vehicle Property Registry: Changes in the legal regime of motor vehicles, including the possibility of processing procedures remotely.
This decree, effective on December 29, 2023, must go through Congress for review according to the National Constitution.
