The Central Bank of Argentina (BCRA) has announced an expedited effort to draft legislation for the implementation of a central bank digital currency (CBDC) within the country. This move follows a series of discussions highlighting the potential advantages of a CBDC for Argentina’s economy.
During a recent public discussion on the Filo News channel on October 18, BCRA director Juan Agustín D’Attellis Noguera disclosed that the central bank is actively working on the legislative framework required to establish the “digital peso.” This CBDC initiative was recently proposed by Sergio Massa, the Minister of Economy and a presidential candidate.
D’Attellis expressed the intention to present the CBDC project to the national Congress “as soon as possible.” He commended Massa’s approach to CBDC, implicitly contrasting it with the stance of another presidential candidate, Javier Milei, who is known for advocating the adoption of the U.S. dollar as Argentina’s official currency while opposing the central bank’s role.
This isn’t the first time D’Attellis has championed the concept of a CBDC. In early October, he voiced his belief that the “digital peso” could play a crucial role in stabilizing the Argentine economy as early as 2024. He emphasized the CBDC’s traceability as a key feature that would enable the government to efficiently collect taxes.
Sergio Massa, in a bid to address Argentina’s persistent issue of inflation, pledged on October 2 to introduce a digital peso if he emerges victorious in the election. According to the latest election polls, Massa is closely trailing behind Javier Milei, setting the stage for a significant choice between different approaches to the country’s economic and monetary policies.
