“The Government has decided to change the images of our currency without advancing the issuance of fees to higher denominations,” Gerardo Milman warned. Photo: Juan Mabromata / AFP)
After the Government decided not to launch new banknotes with amounts higher than the current maximum of $ 1,000, the opposition surprised Congress with a bill consisting of remove the two zeros in the national peso and this way, one peso would be equal to $ 100 today.
“The Central Bank of the Republic of Argentina will issue banknotes and coins, legal tender, circulating in the denomination ‘peso’, at the parity of one (1) peso equal to one hundred (100) pesos (Decree 2128/1991). ). A hundred parts of the peso will be called ‘cents’ ”, said the first article of the bill by deputy Gerardo Milman.
“The Government has decided to change the image of our currency without moving forward with the issuance of higher denominational charges.. The fact is that with those tickets you can buy fewer things every day. That is why I presented a bill to remove two zeros from the Argentine peso, ”the legislator said on his Twitter account.
The initiative aims to change the fiscal line that has been in effect since 1991. With Carlos Menem as president and Domingo Cavallo as minister, he replaced in Austral which has revolved since 1985 and thus came the peso as a currency with a displacement of 4 zeros: a parity of 1 peso to 10,000 australes was established.
“The amounts set in pesos up to the date of issuance of the new denomination, shall be converted into‘ pesos ’and‘ cents ’based on the equality established in article 1”, the Milman project establishment.
“Banknotes and coins denominated in pesos that are in circulation, will remain in their legal tender throughout the national territory, for the equivalent of‘ pesos ’and‘ cents ’until the BCRA’s timely exchange rate is settled in time and way set by the latter ”, he added in another article.
In December 2021, Milman presented a project to the BCRA issue $ 2,000, $ 5,000 and $ 10,000 bills in connection with rising inflation.
Other lawmakers from Together for Change have come up with similar ideas to reduce printing and money transfer costs.
“Unfortunately, Argentina has an inflationary spiral that affects all of us, but especially the most humble.the Government is concerned about changing the drawings on fees. Evita’s 100-peso bill, which she said will come back and be in the millions, we already know what it costs. And $ 1,000, the highest amount in Argentina, is only worth $ 5, ”the lawmaker said.
“The value of our money goes down and it costs less, but somehow it makes everyday life easier ”Milman’s conclusion.
The project will need to add allies from the provincial blocs and in the third way, even the Together for Change is accompanied by the initiative without hesitation. That way he will have a majority among the Deputies. But even if it successfully passes the lower house, it will hardly pass the Senate, where the Frente de Todos along with its allies have a quorum and a majority.
Yesterday, sources close to the Ministry of Economy, pointed out that this type of decision is the exclusive power of the Executive and proved that a project of this type has “no chance to thrive.”
Source: Clarin
