Given the difficulties in placing dollar bonds, the Central Bank ordered new “carrots” to arouse greater interest on that instrument. Regard Boprealthe tool designed by the government to allow importers to cancel their trade debt to importers through future access to the official dollar or to pay their tax obligations.
Through two communications, the Monetary Authority This Thursday expanded access to the foreign exchange market (MULC) provided that exporters anticipate the liquidation of the currency and allowed bondholders to sell them on the local market and transfer money abroadwithout having to transfer them beforehand to sell them on external markets.
The Government has taken note of some complaints from the business sector and accelerated the benefits to attract investors ahead of the third tender which took place on Thursday. In the first two auctions, the BCRA placed 125 million dollars16% of the $750 million offered in this first round of bidding for Bopreal’s Series 1 through the end of January.
Economy Minister Luis Caputo created the bond with the intention of restructuring importers’ debt and decompressing demand for hard currency. The idea is to withdraw pesos from the economy by moving importers’ deposits to Bopreal, but in the last two weeks the exchange rate gap has widened due to the CCL rising to $1,161.
The changes allow subscribers will be able to access the foreign exchange market starting from February simultaneously with the liquidation of deferred export receipts to pay trade debts before December 13 in an amount up to 10%, in order to encourage exporters to liquidate foreign currencies given the possibility of obtaining dollars at the official value.
“There are some additional benefits coupled with some export collection operations for the same amount to pay off debts before December 13 up to the amount you can advance with foreign currency income,” an importer said. “The advantage is that you would have more access to the foreign exchange market and thus unblock emergencies,” explained an exporter.
Companies will also be able to access dollars at the official value at the same time as the liquidation of an amount equivalent to the payment of advance proceeds for the export of goods that will be paid with shipments, for a monthly maximum equal to 10% of the total amount, the progress that is been included in this mechanism.
The other advantage is that traders will be able to sell cash-settled bonds with settlement (CCL) on account abroad to the extent that the securities were purchased by the seller in a primary subscription and the accounts to be credited are not found in countries or territories with insufficient controls on money laundering and tax evasion.
With the change of government, Javier Milei’s team asked importers to register their outstanding debts. And since foreign currency is still scarce, the Ministry of Economy launched the Bopreal for importers to purchase and use to pay tax obligations or access the official dollar, but so far acceptance of the bonus remains limited.
Source: Clarin
