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Top 1 Money Transfer Providers for UK to Argentina

Provider Amount Received Fee Exchange Rate Speed
Rates From The Average UK High Street Bank Rates From The Average UK High Street Bank 644,124.90 £9.50 64.4125 1-5 days more...
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UK
There are no exchange controls in the UK for the pound sterling (GBP), and transferring money to the UK and sending money from the UK is very easy Read More
ARGENTINA
There are few controls on incoming foreign direct investment (FDI) and transferring money to Argentina, although sending money from Argentina is much more difficult due to numerous restrictions and bureaucratic constraints Read More
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Argentina Money Transfer Guide

Daniel Webber
Daniel is Founder and CEO of FXcompared and has 18 years of experience in the international finance world focusing on cross-border payments, technology and the property sectors. Daniel is widely quoted as an expert within the money transfer industry including by The Economist, The Wall Street Journal, Reuters, CNBC and Bloomberg. Daniel is passionate about helping consumers and businesses find the best and most efficient ways to transfer money internationally.

Contents

  • Summary
  • Argentina money transfer regulations
  • Argentina's currency controls and inflation
  • Argentina's regulatory authority
  • Economic background
  • Currency
  • Summary

    There are few controls on incoming foreign direct investment (FDI) and transferring money to Argentina, although sending money from Argentina is much more difficult due to numerous restrictions and bureaucratic constraints.

    Argentina money transfer regulations

    The historical volatility of the Argentinian peso and domestic inflation levels are an important factor to consider if you plan to send money to Argentina or transfer money from Argentina. The decision in January 2014 to ease capital controls should help to improve investor confidence and facilitate capital flows in the near-term. Nonetheless, many restrictions remain in place. The 35% withholding tax remains for businesses, which must apply for foreign currency purchases.

    As of April 2014, investments may not be transferred out of the country for 365 days. In addition 30% of the total investment is required to be deposited in a domestic bank, with the exception of investment in infrastructure, real estate, or for a tax payment. Cash earned from export operations must be converted to pesos in the Argentinian exchange market. Local subsidiaries may transfer funds from royalties, rent and other passive income, but transfers over a value of US$100,000 must receive prior approval from the central bank.

    Argentina's currency controls and inflation

    Argentina's history has been punctuated by repeated episodes of inflation and hyperinflation. The worst culminated in its 2001-02 economic crisis, when inflation hit a record level of 41% and the country was forced to default on its sovereign debt. This instability caused many Argentinians to convert their savings into US dollars for security. As the country’s foreign reserves dwindled, the government introduced capital controls in 2011 meant to slow the demand for foreign currency. The conversion of peso savings to dollars was tacitly banned, and conversion taxes were raised.

    However, instead of reducing demand for foreign currency, these controls created a scramble for black market currency exchange and pushed inflation ever higher. In late January 2014, the official interbank exchange rate fell to eight pesos to the dollar (and has continued to weaken since), while the black market exchange rate jumped to 13.1 pesos to the dollar. Annual inflation rose to 25% in 2013 - double the rate of government estimates - and is expected to climb further to 30% in 2014.

    The peso dropped 15% against the USD in just two days in January 2014, the sharpest drop in over 12 years. The central bank immediately moved to relax its currency control policy, seeming to confirm its inability to bring about price stability. The government reduced the tax on USD purchases from 35% to 20% for individuals and allowed residents to convert and hold their savings accounts in USD for the first time since 2011.

    Argentina's regulatory authority

    The central bank, Banco Central de la República Argentina (CBRA), supervises the financial system, conducts monetary policy, monitors the foreign exchange market and works to preserve the country’s foreign reserves. The central bank has intervened heavily in the forex market in the last two decades in an effort to maintain price stability, but Argentina’s exchange rates and inflation levels have varied widely.

    Economic background

    Argentina is the third largest economy in South America and ranks among the world’s largest emerging economies. Following a period of drastic hyperinflation, Argentina introduced a new currency, the peso, in 1992. The peso was held at a fixed exchange rate for the next decade, pegged to the US dollar at a one-to-one ratio. However, this policy failed to ensure stable inflation levels, and the central bank shifted to a free-floating exchange rate in early 2002.

    The country has had a turbulent economic history, but showed strong growth leading up to the global economic downturn, averaging annual GDP growth of 8.5% between 2003 and 2008. However, Argentina has been heavily impacted by the global downturn; the value of the Argentine peso has fluctuated considerably in recent years, and its inflation rate has been among the world’s highest in 2014. In the face of rising economic pressure, the government has relaxed some of its currency controls and is working to reduce its external debt.

    Currency

    The Argentina peso (ARS), replaced the Austral as Argentina’s official currency in January 1992. When it was introduced, the peso could be exchanged against the US dollar at a one-to-one ratio, and while the exchange rate has changed significantly today, the dollar sign ($) is still used to denominate the peso.

    The central bank issues banknotes in denominations of $1, $2, $5, $10, $20, $50 and $100 (pesos). Coins are produced in values of $1 - which is gradually replacing the one peso bill - and $2, as well as 1, 5, 10, 25 and 50 cents.

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    Top 4 Money Transfer Providers

    Exchange Rates as of 2019-08-16T21:59:35+00:00

    OFX (US)

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    Est. 1998

    OFX provides secure and speedy international money transfers to over 300,000 people in 55 currencies at better-than-bank rates.

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    OFX provides secure and speedy international money transfers to over 300,000 people in 55 currencies at better-than-bank rates.

    WorldFirst

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    Est. 2004

    Transparency and security | Great customer feedback rating from Feefo

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    Transparency and security | Great customer feedback rating from Feefo

    Moneycorp

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    Est. 1979

    One-off payments | Regular payments | Great rates | Safeguarded customer funds

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    One-off payments | Regular payments | Great rates | Safeguarded customer funds

    Bank Beating Rates

    Currencies Direct

    Call us0203 018 1318

    Bank-beating FX rates | Safe and secure | Free transfers for FXcompared customers

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    Bank-beating FX rates | Safe and secure | Free transfers for FXcompared customers

    FXcompared.com is an fx money comparison site for international money transfer and to compare rates from currency brokers for sending money abroad. The website and the information provided is for informational purposes only and does not constitute an offer, solicitation or advice on any financial service or transaction. None of the information presented is intended to form the basis for any investment decision, and no specific recommendations are intended.  FXC Group Ltd and FX Compared Ltd does not provide any guarantees of any data from third parties listed on this website. FX compared Ltd expressly disclaims any and all responsibility for any direct or consequential loss or damage of any kind whatsoever arising directly or indirectly from (i) any error, omission or inaccuracy in any such information or (ii) any action resulting therefrom.