Announcement

Argentina: Currency controls and foreign exchange regulations measures – update IV

Liquidity Solutions | Settlement | Custody | Argentina

Reference

Code
A19112
Service level
CBL
Last Updated
17.09.2019

Following Announcements A19106, A19108 and A19109, Clearstream Banking1 informs customers that the Central Bank of Argentina has published a new Bulletin under COMUNICACIÓN “A” 6782 in which it clarifies that point 15 of Communication “A” 6770 does not apply to income and redemption related foreign currency proceeds stemming from securities issued by the Republic of Argentina (RoA) held via a foreign Central Securities Depository (CSD).

According to the Bulletin, any related income and redemption proceeds from securities issued by the RoA due in currencies other than Argentinian Pesos distributed through foreign CSDs are not affected by the existing restrictions.

Other instruments, such as municipal, provincial or corporate bonds remain affected by such restrictions and therefore may not be collected on or paid to any account held by any legal person outside Argentina. 

Impact on customers

Customers holding domestic Argentinian securities via Clearstream Banking are impacted by the Bulletin.  

Foreign currency proceeds arising from instruments other than those issued by the Republic of Argentina to be collected will remain on hold until further notice.

Further information

Clearstream Banking is currently investigating with the Caja de Valores the impact of this recent communication on payments in foreign currency and will keep you informed as soon as more information is available.

The Market Link Guide - Argentina will be updated to provide additional information on these new measures.

For further information, customers may contact Clearstream Banking Client Services or their Relationship Officer.

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1. Clearstream Banking refers collectively to Clearstream Banking S.A., registered office at 42, avenue John F. Kennedy, L-1855 Luxembourg, and registered with the Luxembourg Trade and Companies Register under number B-9248, and Clearstream Banking AG (for Clearstream Banking AG customers using Creation Accounts), registered office at 61, Mergenthalerallee, 65760 Eschborn, Germany and registered in Register B of the Amtsgericht Frankfurt am Main, Germany under number HRB 7500.