Argentina to use 2 trillion pesos from Anses fund for mortgages

The Argentine government has launched a plan to boost the mortgage market by utilizing 2 trillion pesos from the Anses Sustainability Guarantee Fund (FGS). Under the plan led by Economy Minister Luis Caputo, the Central Bank (BCRA) will act as a financial agent to auction these funds to banks through fixed-term deposits.

The program will be executed through successive auctions of 200 billion pesos each, with a cap ensuring no single bank receives more than 20% of the resources offered in an auction. Banks that secure these funds must provide mortgage loans with a minimum term of 15 years and an annual interest rate not exceeding UVA+7.5%.

Individual loan amounts are capped at 150,000 UVA, which currently equates to approximately 315 million pesos. These funds can be used for purchasing, constructing, expanding, or renovating a primary residence. The government estimates the initiative could generate between 17,000 and 18,000 new mortgage operations, potentially offsetting recent declines in the housing credit market.