Currency controls continue in Argentina

Controls on foreign currency exchanges continued for a second day in Argentina, as the cost of a dollar on the black market rose 1.06 percent.

The dollar is now trading at 4.70 pesos on the informal market, up 3 percent over the last two weeks, reports La Nacion.

The new controls debuted yesterday and virtually blocked the sale of foreign currency to the public. The measures are intended to limit money laundering and to contain the deflationary pressures on the peso.

“There were some technical difficulties during the first day, and we learnt several things in order to make the necessary adjustments. Today everything will work smoothly," said Economy Minister Amado Boudou.

Sales of foreign currency through ATMS, internet banking and phone banking are suspended and banks and exchange houses have to clear all transactions with the tax agency.

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