RIYADH: The Argentine Embassy in collaboration with the Riyadh Chamber of Commerce and Industry hosted a seminar at the UN World Tourism Organization’s regional office in Riyadh on Monday, bringing together senior government officials and business leaders from both nations to explore trade and investment opportunities.
The seminar was held on the sidelines of an official visit by Argentina’s Foreign Minister Gerardo Werthein and focused on the country’s newly launched investment framework — the New Legal Framework for Major Investments in Argentina, also known as RIGI — and opportunities available to Saudi companies.
The RIGI program, which offers the global investment community access to projects in key sectors of the Argentine economy, is designed to attract large-scale international investments by offering significant incentives across key sectors, including mining and energy, infrastructure and tourism, technology and advanced industries and manufacturing.
Delegates and audience at the seminar organized by Argentine Embassy. (AN photo by Rashid Hassan)
It provides regulatory stability, tax incentives, and long-term predictability for foreign investors, ensuring that businesses operating in Argentina can expand with confidence and access high-growth opportunities.
Daniel Gonzalez Casartelli, Argentina’s deputy minister of energy and mining, said at the seminar that the objectives of the investment incentive scheme were to develop the economy, increase competitiveness, boost exports, and generate employment.
He said the incentives on exchange rate included incremental free exports and unrestricted foreign exchange access for equity and debt repayments. On tax it offered accelerated depreciation; tax loss carryforward without expiration date; income tax decrease to 25 percent compared to a general rate of 35 percent; VAT exemption for capex; and tax on dividends reduced to 3.5 percent after seven years of joining the RIGI, with the general rate at 7 percent.
Facundo Vila, ambassador of Argentina with guests after the seminar in Riyadh. (AN photo by Rashid Hassan)
The incentives on customs include full exemption from export duties, starting in the third year; exemption from tariffs on capital goods imports; and tariff and import quota exemptions for the value chain of RIGI projects.
Companies that adhere to the RIGI will benefit from a 30-year stability period, and evaluation of RIGI applications is guaranteed within 45 business days.
The minimum investment amount is $200 million, and companies should invest at least 40 percent of it in the first two years of the project.
Speaking to Arab News, Matias Javier Mana, the undersecretary of international financial relations for development at the Argentine Ministry of Economy, and who is part of the delegation, said: “We came with a very important delegation to present to Saudi investors very specific incentives, (a) large investment incentive regime that is part of our macro-economic program that will show the investors how we will give them benefits and also some certainty and regulation for them to have a safe environment to invest in Argentina.
“Those incentives include goals from tax reductions to customs, facilitated treatments and also legal protections, international arbitration and also some specific regimes for all the supply chains that are somehow related to the project presented.”
He added: “It’s a regime that only considers projects or investments of over $200 million. The main sectors that we have identified and that are acceptable … within this regime are oil and gas, midstream mining, renewable energy, tourism, AI, and nuclear energy.
“As for us, all these sectors represent what we intend to develop and all the potential opportunities that Argentina can offer to international investors; in this case Saudi Arabia.
“This is all within the mission that we are currently undergoing in Saudi Arabia, led by our minister of foreign affairs with the Saudi Arabian government (which is) in order for us to design a road map of bilateral exchanges and strengthen the cooperation and relationship between our countries.”
Demian Reidel, the chief of advisers to the Argentine president, and who is also a member of the visiting delegation, told Arab News: “I oversee a wide portfolio with the main interest in AI and nuclear energy, and I am here with the delegation to facilitate everything that covers these interests.”
Facundo Vila, the ambassador of Argentina to the Kingdom, told Arab News: “The delegation is here about the new incentives regime for large-scale investments in Argentina.
“They include the secretaries of energy and mining, because those are the two key sectors in which we think Argentina has a lot to offer.
“The presentation focused on the main advantages that investors and prospective foreign investment would enjoy in Argentina.
“We believe it (the RIGI) is a very good opportunity in areas in which Saudi has a lot of expertise, oil and gas for example.
“We have a big oil base in Argentina but that needs to be worked on and they need capital infrastructure to make it work.”
