Argentina's industry urges repeal of RIGI tax incentive scheme

Former economy minister Domingo Cavallo criticised the government’s Régimen de Incentivo para Grandes Inversiones (RIGI), saying it "discriminates and puts millions of companies at a disadvantage" and urged the removal of all foreign‑exchange controls. He argued that the scheme creates a "anti‑investor bias" and that eliminating such biases is essential for economic growth.

The Argentine Industrial Union (UIA) released a report placing Argentina at the top of fiscal pressure among 30 countries, with a 56% tax burden on the formal industrial sector. The UIA’s president, Martín Rappallini, called for a "federal fiscal pact" involving national, provincial and municipal governments to cut taxes that they say stifle growth, noting that around half of corporate profits go to taxes and more than 70,000 industrial jobs have been lost since 2023. The UIU plans to present its proposals to Economy Minister Luis Caputo.

Both Cavallo and the UIA argue that the RIGI and the newly approved "Super RIGI" benefit only a limited group of large projects, leaving the bulk of Argentine industry over‑burdened and less competitive internationally.