Argentina Unleashes $271 Billion Hidden Dollar Stash to Boost Economy

Argentina's government under President Javier Milei is set to relax capital controls and foreign currency reporting requirements to encourage the reintegration of an estimated $271 billion in US dollars held outside the formal financial system. This move, announced by spokesman Manuel Adorni, will allow Argentines to use their dollars without declaring their source, effectively legalizing previously hidden cash and bypassing certain tax obligations. The initiative, called the “Historical Reparation Plan of Argentine Savings,” is designed to boost liquidity and stimulate economic growth by bringing informal savings into the official economy. Economy Minister Luis Caputo emphasized that the plan aims to restore financial freedom to citizens and foster growth with higher salaries and better prices. The decree is expected to be signed imminently and will be followed by a bill to Congress to solidify the changes and protect them from future policy reversals. Despite the potential economic benefits, many Argentines remain cautious due to past experiences with economic instability and revoked amnesty measures.