Good Morning Macri: What Argentina's New Dawn Means For Investors

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By Forbes

It’s official. Mauricio Macri made harder work of it than polls had expected, but he achieved just over 51% of the votes in last night’s run-off compared to just under 49% for Kirchner candidate Daniel Scioli. He is the new elected president of Argentina. So now what?

“Regardless of the tight margin, the elections send a strong message that a majority of Argentinians favour a change,” says Alejandro Hardziej, fixed income research analyst at Julius Baer. “Macri recognises the need to boost the competitiveness of the corporate sector and exports, and has promised business-friendly reforms to spur investments.”

Macri is seen as a pro-business leader, and some of his intended priorities include lifting capital controls and liberalising the exchange rate (to a point, anyway), which Hardziej says in practice means depreciating it by between 20 and... (Read More)