Argentina Country Commercial Guide
Learn about the market conditions, opportunities, regulations, and business conditions in argentina, prepared by at U.S. Embassies worldwide by Commerce Department, State Department and other U.S. agencies’ professionals
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Trade Financing
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Methods of Payment

Letters of credit (L/Cs) may be used to pay for U.S. exports to Argentina. A number of banks in Argentina open letters of credit once the bank has approved a line of credit for the Argentine importer.

Another payment option may be direct payment from the Argentine importer’s overseas bank account. Bank drafts and documentary collections are also of common use. While they do help safeguard the U.S. exporter’s title to goods until payment has been received, all credit and country risk remains with the exporter. There is no obligation for the bank to cover these risks. However, documentary collections are less costly than letters of credit and, where the exporter is comfortable with these risks, they offer a practical and efficient solution, particularly for Argentine subsidiaries of U.S. companies.

A vast majority of sales to Argentine importers are currently performed on open accounts. As a result of the pandemic, small and medium-sized Argentine companies across the board are experiencing liquidity challenges, which impact their ability to innovate and upgrade production lines. Open account sales generally take place between small and medium-sized firms. U.S. exporters should consider open account payment terms only if they have a great deal of trust in the local importer and feel confident in the client’s ability and willingness to pay.

While the financing tools offered by the United States Export-Import Bank (EXIM) are a good option for U.S. exporters globally, EXIM is limited in the offerings that it can provide for the Argentine market due to economic uncertainty.

For more information on U.S. EXIM Bank tools, contact the U.S. Commercial Service Argentina at Office.Buenosaires@trade.gov or visit www.exim.gov/tools-for-exporters/country-limitation-schedule and be sure to read the “Notes: 13” section.

For more information about the methods of payment or other trade finance options, please read the Trade Finance Guide and consult these sites:

U.S. Export-Import Bank (English)
United States Trade Representative information site on Argentina (English)

Banking Systems

Argentina’s Central Bank (BCRA) is the implementing authority and the regulatory body which issues standards and oversees activities of financial institutions. To operate in Argentina, foreign banks must register with the BCRA and obtain appropriate authorization prior to engaging in banking activities in the country. Furthermore, there are minimum capital requirements for these entities to be allowed to do business.

Foreign Exchange Controls

The BCRA is the regulatory body that oversees foreign exchange acquisition for import-related transactions. For more information on how the foreign exchange market operates currently in Argentina, please refer to the section “Access the Foreign Exchange Market” in page 21.

U.S. Banks and Local Correspondent Banks

There are currently no U.S. banks operating in Argentina’s retail segment. However, American Express Bank, Bank of America, Citibank, and J.P. Morgan Chase offer financial services to government and corporate clients in Argentina. To obtain a list of Argentine commercial banks with offices in the United States or banks operating in Argentina, please review the BCRA website

To access Argentina’s ICS section on financing, visit the U.S. Department of State Investment Climate Statement. website.

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Global Business Navigator Chatbot Beta

Welcome to the Global Business Navigator, an artificial intelligence (AI) Chatbot from the International Trade Administration (ITA). This tool, currently in beta version testing, is designed to provide general information on the exporting process and the resources available to assist new and experienced U.S. exporters. The Chatbot, developed using Microsoft’s Azure AI services, is trained on ITA’s export-related content and aims to quickly get users the information they need. The Chatbot is intended to make the benefits of exporting more accessible by understanding non-expert language, idiomatic expressions, and foreign languages.

Limitations

As a beta product, the Chatbot is currently being tested and its responses may occasionally produce inaccurate or incomplete information. The Chatbot is trained to decline out of scope or inappropriate requests. The Chatbot’s knowledge is limited to the public information on the Export Solutions web pages of Trade.gov, which covers a wide range of topics on exporting. While it cannot provide responses specific to a company’s product or a specific foreign market, its reference pages will guide you to other relevant government resources and market research. Always double-check the Chatbot’s responses using the provided references or by visiting the Export Solutions web pages on Trade.gov. Do not use its responses as legal or professional advice. Inaccurate advice from the Chatbot would not be a defense to violating any export rules or regulations.

Privacy

The Chatbot does not collect information about users and does not use the contents of users’ chat history to learn new information. All feedback is anonymous. Please do not enter personally identifiable information (PII), sensitive, or proprietary information into the Chatbot. Your conversations will not be connected to other interactions or accounts with ITA. Conversations with the Chatbot may be reviewed to help ITA improve the tool and address harmful, illegal, or otherwise inappropriate questions.

Translation

The Chatbot supports a wide range of languages. Because the Chatbot is trained in English and responses are translated, you should verify the translation. For example, the Chatbot may have difficulty with acronyms, abbreviations, and nuances in a language other than English.

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