Another blow to Argentina

Since many Argentines have been trying to find good deals on consumer goods over the internet, the Kirchner regime has decided that this thrifty bargain-hunting must stop, and everyone must buy locally overpriced stuff instead. Stuff that Our Dear Leader Cristina has declared are unavailable anyways.

Cristina, who uses an iPhone, which she declared illegal. For everyone else, that is.

In order to enforce these measures, the buyers of international online goods must file papers with AFIP before they can receive their goods.

My 2014 prediction is that there will be many rich smugglers moving goods to Argentina.

Pluna: another casualty of Kirchner policy

Pluna, Uruguay’s “official” airline, is going broke. At present, they only have enough money to stay afloat for another 30 days.

The biggest factors in the death of Pluna are the Argentine restrictions put on its flight paths (Aerolineas Argentinas has full access to Uruguay with all of its flights, and trade for this they had cut access to many of Pluna’s flights), and the lack of Argentine tourists coming to Uruguay because of Kirchner’s new batch of currency control laws and the new exit visa/AFIP requirements.

Interesting articles here, and here.

Argentina crosses the line into Totalitarian Police State

The Silver Curtain has been drawn.

It wasn’t enough that they could no longer exchange Pesos for Dollars without permission from AFIP.

And it wasn’t enough that they could no longer send Dollars outside the country without permission from AFIP.

And it wasn’t enough that they could only withdraw a couple hundred dollars worth out of any account in any given day without permission from AFIP.

And it wasn’t enough that AFIP had money-sniffing dogs at all the airports and ferry terminals to keep Argentinos from taking their money out.

And it wasn’t enough that with all these other restrictions in place, you can’t even buy gold to protect yourself from inflation without permission from AFIP. They have unapologetically forced Argentinos into a corner, robbing them of their funds, and are not even attempting to hide it.

Could it possibly get worse for them? Turns out it could…

A new law went into effect yesterday, in which any Argentine wishing to leave the country, even for tourism, must first register with AFIP (the Argie version of the IRS) in order to prove the source of the funds to make said trip. So long, Argentine tourists. So long, tourism in Uruguay. Up yours, Kristina.

Argentina had some 20% inflation last month, and the black market arbitrage rate is now as high as 6 to the Dollar when the official rate is 4.47.

Some further links, thanks to ArgieBob:

“Requisites for buying Dollars, and ability to travel”

“Do I need permission to travel?” which attempt to clarify some of the law (Resolution 3333) but doesn’t much succeed; however, the author does indeed identify this law as one that accuses all Argentine international travelers as suspected tax evaders who must prove otherwise. It appears to be an exit visa restriction disguised as a currency control, and vice versa.