Argentina Eases Capital Controls, IMF and World Bank Offer New Funding

Argentina will remove capital controls, known as "el cepo", starting April 14. This change is backed by a $20 billion funding from the IMF, plus $12 billion from the World Bank and $10 billion from the Inter-American Development Bank over three years. The Argentine peso will now float between 1,000 and 1,400 per U.S. dollar, simplifying capital flows and allowing dividends out of the country.

The IMF funds aim to strengthen the Central Bank's reserves. Companies can also repatriate profits with some conditions in 2025. Importers will benefit from relaxed payment conditions for foreign trade. These changes are expected to attract new investments.

Cerrado Gold Inc. sees these developments as an opportunity to operate more efficiently in Argentina, expecting a boost in its resource investments.