Argentina · POLITICS
Key Facts
- —Session The Chamber of Deputies holds a special session at midday on Wednesday 26 August 2026.
- —Mandate The charter reform makes preserving the value of the currency the central bank’s single mandate.
- —Prohibition It explicitly prohibits direct and indirect financing of the Treasury through money creation.
- —Tax bill Inocencia Fiscal II widens the range of taxpayers who can formalise undeclared savings.
- —Patents The agenda includes Argentina’s accession to the Patent Cooperation Treaty (PCT).
The reform would make price stability the central bank’s only goal and bar it from financing the Treasury.
Argentina’s Deputies take up the central bank charter in a special session at midday on Wednesday 26 August 2026. The agenda includes the reform of the charter, the Carta Orgánica of the Banco Central.
A second Fiscal Innocence bill and a patents item are also listed.
The Central Bank Charter Reform
The central bank charter is the law that sets out what the bank must do and what it may not do. The reform makes preserving the value of the currency the bank’s single mandate.
Therefore, the bank would not also be required to support growth or employment. This is a major shift in priorities.
Prohibiting Treasury Financing
The reform explicitly prohibits direct and indirect financing of the Treasury through money creation. This includes temporary advances and the direct purchase of public debt.
As a result, the government could no longer ask the central bank to print money to cover its bills. This is a key change for fiscal discipline.
Protecting Central Bank Authorities
The reform tightens the conditions for removing central bank authorities. This makes it harder to fire the bank’s leaders for political reasons.
In addition, profit distribution is restricted to gains that are liquid and realised. These profits can only be used to cancel debt.
The Second Fiscal Innocence Bill
The agenda also includes Inocencia Fiscal II, a bill that widens the range of taxpayers who can formalise undeclared savings. It aims to bring dollars held outside the financial system into formal channels.
The bill removes income and asset caps that limited access. Meanwhile, it cuts fines by around 25% for individuals and small and medium firms that sign up.
Reinforcing the Fiscal Stopper
The bill reinforces the fiscal stopper by limiting tax authority reviews of past periods. This gives taxpayers more certainty when they come forward.
For example, a small business could declare previously hidden savings without fear of a deep audit. This encourages participation.
The Patents Item
The patents item includes Argentina’s accession to the Patent Cooperation Treaty, the PCT. Some reports also mention a patents agreement with the United States in the same package.
The PCT lets an inventor file one international application instead of separate ones in each country. This simplifies the process for Argentine innovators.
Political Arithmetic
La Libertad Avanza does not have the votes on its own. It relies on negotiations with allied blocs from PRO and the UCR.
Therefore, the outcome of the session depends on these talks. No vote count has been confirmed.
Why the Central Bank Charter Matters
A central bank charter sets the rules for the bank’s operations. Making price stability the single mandate means the bank cannot be forced to support growth or employment.
In short, this could change how Argentina manages its currency. The prohibition on Treasury financing is a bold step.
What Happens Next
The special session on Wednesday will show whether the government can secure enough support. The central bank charter reform is a priority for the administration.
However, the votes are not yet secured. The debate will be closely watched by investors and citizens alike.
Frequently Asked Questions
What is the central bank charter?
The central bank charter is the law that sets out what the bank must do and what it may not do. The reform makes preserving the value of the currency the bank’s single mandate.
What does the reform prohibit?
It prohibits direct and indirect financing of the Treasury through money creation. This includes temporary advances and the direct purchase of public debt.
What is Inocencia Fiscal II?
Inocencia Fiscal II is a bill that widens the range of taxpayers who can formalise undeclared savings. It aims to bring dollars held outside the financial system into formal channels.
What is the Patent Cooperation Treaty?
The Patent Cooperation Treaty, or PCT, lets an inventor file one international application instead of separate ones in each country. Argentina’s accession is on the agenda.
Connected Coverage
Sources: Argentine Chamber of Deputies; Argentine press.
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