The government of Javier Milei has not yet confirmed the date when the currency controls will be lifted, despite the president's statements that he will eliminate restrictions on the dollar in 2025. "It should never have existed and this year it will end once and for all," the leader mentioned without offering concrete details on when the exchange rate restrictions will be lifted.
Economist Marina Dal Poggetto, director of the consulting firm Eco Go, expressed her opinion on this issue and pointed out the key condition that the government is waiting for to lift the controls. In an interview with LN+, Dal Poggetto explained that capital controls remain part of the economic program of the Casa Rosada because they are in a context where the jump in productivity has not kept pace with the increase in costs for those who had dollars.
"If you want to ensure that the disinflation scheme is strictly maintained and you’re warning that inflation is induced by devaluation, with a dollar running at 1% and you have just lowered taxes, the truth is that the program requires controlling both markets: the official and the financial," Dal Poggetto explained.
The analyst predicts that the decision to lift the controls will be postponed until after the October elections, conditioned by the management of expectations. She warns of a possible jump in the dollar price with the unification of the exchange rate and emphasizes that the government would be willing to adopt a floating scheme, as long as the floating remains at controlled levels.
