The deposits e Dollars banknotes and other currencies – which are located in the country or abroad of Argentines or Argentine companies, which in the vast majority they are not declared – reached September 30th record of 256,591 million dollars, according to INDEC data. It’s just under half of the GDP, that is, everything the country produces in a year.
A year ago the “mattress dollars” amounted to 246,657 million dollars, i.e The increase was over 10,000 million dollars.
The government’s money laundering project largely targets these mostly undeclared funds.
In 2006 they amounted to 74,282 million dollars. In 2009 they surpassed the $100 billion barrier. At the beginning of 2016 – at the beginning of the government of Mauricio Macri – they amounted to 154,682 million dollars – declared or not – and at the beginning of the government of Alberto Fernández they already amounted to 226,569 million dollars.
All these numbers illustrate the huge outflow or flight of capital which was partly funded by higher debta process that has intensified year after year in a context of sharp depreciation of the peso, exchange rate gap, low growth and recession, high inflation, halt in economic activity aggravated by the pandemic and restrictions on activity, increase in informality and increase of poverty for a growing part of Argentines.
As, While the Central Bank has no dollars, the banknotes “under the mattress” have “surpluses” of foreign currency. In property OR financial investments abroad and in stocks or debt securities of foreign governments or corporations in an amount that resembles the national government debt.
To the 256,591 million dollars must be added 49,335 million dollars for equity investments and investments in investment funds; equity investments through direct investments, for US$ 47,774 million and debt securities from portfolio investments for US$ 34,263 million.
All these funds are private and are in banknotes or invested in foreign funds and currencies and the debt is of the National State. Much of it is “unreported” and accumulated over years outside the local financial system.
These INDEC data derive from the purchase and sale movements of foreign currency in the banking and financial system, from the entry and exit of funds and capital that are processed through the Central Bank and from data provided by banks and entities abroad regarding property , placements or assets that Argentines have in their countries and estimates of the movements of funds, as in the case of foreign tourism.
Source: Clarin
