According to data from El Cronista, in Argentina, 44% of the stock of Foreign Direct Investment (FDI) is concentrated in three countries: Spain, the United States, and the Netherlands. The United States has a stock of USD 28.875 billion, followed by Spain with USD 26.562 billion and the Netherlands with USD 20.100 billion.
The total gross passive position of FDI reached USD 171.795 billion as of September 30 of last year, distributed in equity holdings of USD 115.552 billion and debt instruments of USD 56.242 billion. Due to the currency controls, companies cannot remit profits to their parent companies, leading many to decide to reinvest them in the country.
In the third quarter of 2024, the flows of FDI in Argentina totaled USD 2.395 billion, with profit reinvestments explaining USD 1.151 billion, capital contributions of USD 669 million, net income from debt transactions of USD 572 million, and mergers and acquisitions of USD 4 million, according to data from the Central Bank (BCRA).
The sectors that received the highest flow of FDI in the same quarter were "Deposit-taking corporations, except the Central Bank" with USD 871 million, "Mining and quarrying" with USD 718 million, and "Manufacturing industry" with USD 371 million. Spain was the main source of FDI flows with net income of USD 788 million, followed by Brazil with USD 589 million.
