Milei’s Tax Cut on Crops Quickly Lures $7 Billion Into Argentina

Argentina’s currency market is being flooded with dollars from grain purchases, prompting calls for the government to start rebuilding its stock of hard-currency reserves after selling more than $1 billion last week.

Exporters rushed to take advantage of a temporary tax break announced Monday by President Javier Milei’s administration and a foreign-exchange rate that became even more favorable after forceful pledges of US support for his economic agenda.

By Wednesday evening, the tax agency said the $7 billion cap set by the government had been reached. To benefit from the tax relief, 90% of those dollars have to be ...