He Government announced an important modification to the regulations of the Incentive Regime for Large Investments (RIGI). This modification, published through Decree 1028/2024 in the Official Gazette, aims to facilitate new investments and attract more projects to Argentina.
The modification focuses on article 60 of the regulations of the RIGIwhich now allows pre-existing projects to access the regime’s incentives if they meet certain requirements. Previously, only new projects could benefit from these incentives, limiting companies’ ability to expand their existing operations.
So that a pre-existing project can access the RIGImust comply with all the requirements provided for in the regime and equal or exceed the minimum investment amount required for its sector. Additionally, the applicant must submit a plan that demonstrates that the incentives of the RIGI They will be applied exclusively to the expansion of the pre-existing project.
One of the main novelties of the modification is the creation of a “dedicated branch” to manage the expansion of the project. This branch will have as its sole objective the execution of the expansion, which will allow a clear differentiation of the incentives applied to the new development.
Infrastructure and assets can be shared between the original project and the expansion, as long as the conditions of the agreement are met. RIGI. The Government has also established mechanisms to resolve disputes related to RIGI incentives.
Applicants must accept that disputes will be resolved through the mechanisms provided for in Law No. 27,742, including the RIGI Panel. This seeks to guarantee legal certainty and stability for investors.
Modification
The modification of the RIGI is part of a broader effort by the Government to encourage new investments and strengthen the country’s economy. By providing economic incentives, legal stability and an efficient system to protect acquired rights, the Government hopes to attract more investments and generate employment.
The modification of the regulations of the RIGI on the expansion of a pre-existing project is a strategic measure to promote economic development and attract new investments to Argentina. By allowing pre-existing projects to access the regime’s incentives, the Government seeks to create a more favorable environment for companies and promote the country’s economic growth.
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