Knowledge economy law with discounts of up to 60% in income tax enacted

The regime for the promotion of the Knowledge Economy becomes law, which grants a set of fiscal incentives for the development of essential industries for the country. Companies will be able to convert up to 70% of the employer contributions paid into a tax credit voucher and will be able to use it for up to 24 months from its issue for the cancellation of national taxes. They will enjoy an income tax reduction in a percentage that varies according to size, 60% discount will apply for SMEs and micro-SMEs, 40% for medium and 20% for larger ones.

Sancor Seguros invested $1.7 mn in three new companies

The Center for Technological, Business and Social Innovation, better known by its acronym CITES, is the business incubator of the Sancor Seguros Group. This week it made a $1.7 million investment in three new companies, two biotech startups and one urban development company. The portfolio of companies incubated by CITES reaches 15 companies. It stands on a financial trust of $24 million, whose leading investor is Grupo Sancor Seguros (50%) and includes others such as the Inter-American Development Bank (contributed $3 million), the Rosario Stock Exchange, Matba Rofex, other companies and individuals.

Industrial activity fell 7.1%, and construction plummeted 17.7% in August

According to data released this Wednesday by the INDEC, both indicators fell in the year-on-year comparison and also concerning July. The industrial activity fell in August 7.1% compared to the same month last year and fell 0.9% compared to July 2020. Construction in August marked a decline of 17.7% in year-on-year terms and a decrease of 1% about last July.

Leading banks projected 12.8% fall in Argentina’s economy

The leading banks in the world stated that they see a complicated panorama for Argentina due to the fiscal deficit, monetary issue and low global growth. A projected 12.8% fall for Argentina will be the second-worst in the Latin American region, which on average would suffer a recession of 8.4%. A report by the Institute of International Finance highlighted the risks facing the economy if an IMF-supported medium-term program is not achieved.