“Hojarasca”, the Government's new deregulatory package

He Government Argentina has decided to accelerate the sending of a new deregulatory package to Congress, with the aim of facilitating privatizations and eliminating bureaucratic barriers that hinder economic development.

This package, known as the “litter law”, seeks to repeal 75 regulations that, according to the Executive Branch, are unnecessary and limit the efficiency of the public and private sectors. The law is part of a series of measures that the Government has been implementing to promote deregulation and privatization of state-owned companies.

The National Securities Commission (CNV) is also fine-tuning measures to make the sales processes of these companies more flexible, with the aim of attracting investors and improving market competitiveness. President Javier Milei has been a strong defender of deregulation and privatization as tools to boost economic growth.

According to Milei, the elimination of unnecessary regulations and the sale of state-owned companies will allow the State to concentrate on its essential functions and reduce the fiscal deficit. In addition, he argues that these measures will attract foreign investments and encourage job creation.

“Hojarasca”, the Government's new deregulatory package

The deregulatory package includes the repeal of regulations that affect various sectors, from industry and commerce to energy and telecommunications. Among the norms that are sought to be repealed are regulations that, according to the Governmentimpose unnecessary administrative burdens and limit the ability of companies to operate efficiently.

The CNV, for its part, is working on making the processes for the sale of state companies more flexible. This includes simplifying bureaucratic procedures and reducing requirements for investor participation.

“Hojarasca”, the Government's new deregulatory package

Odds

The CNV is also evaluating the possibility of offering tax and financial incentives to attract potential buyers. He Government has been negotiating with various political and economic actors to ensure the necessary support in Congress.

However, the outcome of these negotiations is uncertain, as the opposition has expressed concern about the impact of these measures on employment and the quality of public services. Critics of the “litter law” argue that deregulation and privatization can lead to job losses and a decline in the quality of public services.

Source link