{"id":11347,"date":"2023-12-21T16:30:04","date_gmt":"2023-12-21T19:30:04","guid":{"rendered":"https:\/\/allende.com\/administrative\/economic-deregulation-decree-12-21-2023\/"},"modified":"2024-07-11T15:27:37","modified_gmt":"2024-07-11T18:27:37","slug":"decree-70-2023-basis-for-the-reconstruction-of-argentinas-economy","status":"publish","type":"post","link":"https:\/\/allende.com\/en\/argentine-reform\/decree-70-2023-basis-for-the-reconstruction-of-argentinas-economy-12-21-2023\/","title":{"rendered":"Decree No. 70\/2023 – Basis for the Reconstruction of the Argentine Economy"},"content":{"rendered":"

The Decree declares a public emergency until December 2025 and involves a package of measures that seeks to deregulate and modernize the Argentine economy, promoting trade openness, labor flexibility, the privatization of public companies and the simplification of procedures. The Decree aims to promote competitiveness, investment, employment and economic growth, following international trade standards. <\/span><\/p>\n

The decree contains 366 articles and covers 16 titles that reform different sectors, such as banking, mining, energy, aviation, communication, health and tourism, among others. For the purposes of quantifying the impact of the rule, in total the Decree repeals a total of 50 laws and modifies approximately a total of 34 regulations. <\/span><\/p>\n

 <\/p>\n

Structural changes <\/b><\/p>\n

The central points are: <\/span><\/p>\n

    \n
  1. Emergency Declaration:<\/b> A public emergency is declared in various areas, including economic, financial, fiscal, administrative, pension, tariff, health and social, which will extend until December 31, 2025.<\/span> <\/li>\n
  2. Economic Deregulation<\/b>: The Decree promotes broad deregulation of commerce, services and industry at the national level. This implies eliminating restrictions on the supply of goods and services and any regulations that distort market prices, prevent free private initiative or the spontaneous interaction of supply and demand. <\/span><\/li>\n
  3. International Insertion<\/b>: Greater integration of Argentina into world trade is sought. To achieve this, the Decree states that the national Executive Branch will work to adopt international standards in trade in goods and services, seeking to harmonize internal regulations with those of Mercosur and other international organizations, such as the World Trade Organization (WTO) and the Organization for Economic Cooperation and Development (OECD). <\/span><\/li>\n
  4. Privatizations<\/b>: Transformation of all State companies into public limited companies for subsequent privatization.<\/a><\/span> <\/li>\n<\/ol>\n

    <\/span><\/p>\n

    Laws repealed <\/b><\/p>\n

    Among others, the Decree provides for the repeal of the following laws: <\/span><\/p>\n

      \n
    1. Law on urban locations, applicable to real estate rentals. <\/span><\/li>\n
    2. Law of supply. <\/span><\/li>\n
    3. Gondola law.<\/a> <\/span><\/li>\n
    4. Law of national purchase. <\/span><\/li>\n
    5. Repeal of the price observatory. <\/span><\/li>\n
    6. Industrial promotion law.<\/a> <\/span><\/li>\n
    7. Commercial promotion law.<\/a> <\/span><\/li>\n
    8. Repeal of the regulations that prevent the privatization of public companies. <\/a> <\/span><\/li>\n
    9. Repeal of the State companies regime. <\/span><\/li>\n
    10. Land Law.<\/a> <\/span><\/li>\n
    11. Repeal of the wine regime. <\/span><\/li>\n
    12. Repeal of certain regulations on food regime. <\/span><\/li>\n<\/ol>\n

       <\/p>\n

      Legal amendments <\/b><\/p>\n

      Among others, the Decree provides for the modification of the following regulations: <\/span><\/p>\n

        \n
      1. Modernization of the labor regime.<\/a><\/span><\/li>\n
      2. Reform of the Customs Code. <\/span><\/li>\n
      3. Modification of the Fire Management Law<\/a>. <\/span><\/li>\n
      4. Repeal of the obligations that sugar mills have regarding sugar production. <\/span><\/li>\n
      5. Repeal of the national mining trade system and the Mining Information Bank. <\/span><\/li>\n
      6. Authorization for the transfer of the total or partial share package of Aerol\u00edneas Argentinas. <\/span><\/li>\n
      7. Implementation of the open skies policy. <\/span><\/li>\n
      8. Modification of the Civil and Commercial Code to reinforce the principle of contractual freedom between the parties. <\/span><\/li>\n
      9. Modification of the Civil and Commercial Code to guarantee that obligations contracted in foreign currency must be paid in the agreed currency. <\/span><\/li>\n
      10. Modification to the regulatory framework of prepaid medicine and social works. <\/span><\/li>\n
      11. Elimination of price restrictions on the prepaid industry. <\/span><\/li>\n
      12. Incorporation of prepaid medicine companies into the social work regime. <\/span><\/li>\n
      13. Establishment of the electronic prescription. <\/span><\/li>\n
      14. Modifications to the regime of pharmaceutical companies. <\/span><\/li>\n
      15. Modification of the Companies Law so that football clubs can become public limited companies (if they so wish). <\/span><\/li>\n
      16. Deregulation of satellite internet services. <\/span><\/li>\n
      17. Deregulation of the tourism sector by eliminating the monopoly of tourism agencies. <\/span><\/li>\n
      18. Incorporation of digital tools for vehicle registration processes<\/a> and other State systems. <\/span><\/li>\n
      19. Amendment of the Credit Card Law.<\/a><\/span><\/li>\n
      20. Modification of the Warrants Law. <\/span><\/li>\n
      21. Various reforms on health issues and the reform of the electronic prescription system<\/a>. <\/span><\/li>\n<\/ol>\n

         <\/p>\n

        Validity of Decree 70\/2023 <\/b><\/p>\n

        Article 5 of the Civil and Commercial Code establishes that laws become effective after the eighth day of their official publication; therefore, considering that Decree 70\/2023 was published on December 21st, 2023, it will become effective on December 30th, 2023. On the other hand, the treatment of Decrees of Necessity and Urgency (\u201cDecree\u201d) is regulated by Law No. 26122. The law establishes that the Chief of Cabinet must submit the Decree to the consideration of the Permanent Bicameral Commission within ten days of its issuance. The Permanent Bicameral Commission has 10 business days to issue an opinion on the validity of the Decree and send it to the plenary of both legislative chambers for its treatment. The Decree will only become ineffective if both chambers reject it. The Senate and the Chamber of Deputies may only accept or reject the Decree, but may not introduce amendments, modifications, or additions. The decision is made by absolute majority of those present. <\/span><\/p>\n

        Each practice area of our law firm will be publishing a detailed report of the respective reforms and the effect of the repeals. <\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

        On December 21, 2023, Decree of Necessity and Urgency No. 70\/2023 (the \u201cDecree\u201d) was published in the Official Gazette, which makes reforms in several areas of Argentine legislation. <\/p>\n","protected":false},"author":1,"featured_media":11344,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_eb_attr":"","footnotes":""},"categories":[46,97,49,98],"tags":[],"class_list":["post-11347","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-administrative","category-argentine-reform","category-banking","category-economic-deregulation"],"acf":[],"yoast_head":"\nDecree No. 70\/2023 - Basis for the Reconstruction of the Argentine Economy - Allende & Brea - Estudio Jur\u00eddico<\/title>\n<meta name=\"description\" content=\"On December 21, 2023, Decree of Necessity and Urgency No. 70\/2023 (the \u201cDecree\u201d) was published in the Official Gazette, which makes reforms in several areas of Argentine legislation.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/allende.com\/en\/argentine-reform\/decree-70-2023-basis-for-the-reconstruction-of-argentinas-economy-12-21-2023\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Decree No. 70\/2023 - 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