The Central Bank of the Republic of Argentina has revealed its accelerated legislative efforts to introduce a central bank digital currency (CBDC) in the country. Juan Agustín D’Attellis Noguera, the central bank governor of Argentina, announced during a public discussion on October 18 that they are developing a legislative framework for the digital peso CBDC project, a proposition put forth by Sergio Massa, a presidential candidate and the Minister of Economy. Noguera expressed the intent to present the project to the Argentine Congress as soon as possible.
The governor praised Massa's commitment to CBDC and subtly criticized another presidential candidate, Javier Milei, who has vocally advocated for the "dollarization" of Argentina's economy. Noguera believes that the introduction of a CBDC would enhance the country's economy, stating that the traceability feature would enable the government to more efficiently collect taxes.
Noguera's stance on the benefits of CBDC is not new. In early October, he expressed optimism that a digital peso could contribute to stabilizing Argentina's economy as early as 2024. The move toward a CBDC aims to address the ongoing issue of inflation in the country, a matter of substantial concern. Sergio Massa, who has made it a part of his election campaign, pledged to launch a digital peso if he secures the election, aiming to tackle Argentina's long-standing inflation problems. However, he faces competition from Javier Milei, who advocates for the adoption of the U.S. dollar as Argentina's official currency and opposes the central bank's involvement in the country's economy. Recent polls indicate a close contest between the two candidates.
