So far in August, the BCRA has sold $738 million in reserve dollars, exceeding the May maximum of $679 million. It is the most massive net sale of foreign currency of the year, which so far accumulates a total of $1.2 billion. It is not the fault of the $200 quota. The drainage reflects other macroeconomic symptoms, such as the excess liquidity and the investment spirit that so far is declining due to private deposits in pesos.
The analysis of the Argentine Institute of Fiscal Analysis reflected a negative balance of 4.7% in the accumulated balance of the seven months of the year. Even though the seventh month showed a recovery for the second consecutive month, they warn that we are still far from sustainable levels.
According to a report by the Argentine Confederation of Medium-sized Companies, the production of SMEs fell 13.6% in July 2020 compared to the same month last year. Only 11% of the firms expect production to continue to fall in the coming months, while 27% expect increases.
Argentine agribusiness is much more than the export of food, grains and by-products: knowledge and technology play a crucial role that even today is already at the forefront of the export market. The seed industry positions Argentina as a supplier of soybeans to the northern hemisphere. According to projections, off-season seed exports -generally to the United States- generate a foreign exchange of between $150 and $350 million per year.
The current president of the Energy Commission of the Chamber of Deputies will leave his position to concentrate on the energy area, which from now on will be under the Ministry of Economy, to provide an integral vision to the energy factor, which affects the macroeconomic stability and the competitiveness of the added value. Martínez will leave the presidency of the Energy Commission of the Chamber of Deputies to take the place of Sergio Lanziani.