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Argentina’s Central Bank Links FX Band to Inflation and Sets 2026 Reserve Build Target

The move is pitched as a remonetization step to rebuild buffers for early‑2026 debt payments.

Overview

  • Starting January 1, 2026, the dollar band’s floor and ceiling will update monthly using the INDEC CPI from two months prior, replacing the 1% monthly adjustment.
  • The BCRA outlined a 2026 reserve accumulation goal of USD 10–17 billion, planning daily purchases up to 5% of FX market volume and allowing off‑market block buys.
  • After the 15:30 announcement, financial dollar rates climbed: MEP to roughly ARS 1,490–1,495 (about +1%), CCL to ARS 1,528–1,533 (about +1.4–1.6%), and the blue to ARS 1,480 (up ARS 35).
  • Official dollar prices were largely steady around ARS 1,438–1,465, and reported gross reserves rose by USD 332 million on the day.
  • Officials noted public net dollar purchases fell to about USD 1.1 billion in November from USD 5.3 billion in October, while analysts highlight the plan’s dependence on fresh FX inflows and on covering roughly USD 4.2 billion due in January.