Milei Clashes With Top Banks Amid Argentina Liquidity Crunch

Newly imposed liquidity measures aimed at containing a nascent peso selloff have stoked tensions between Argentine President Javier Milei and the country’s banks, a sector that was largely aligned with his policy goals but now sees its profitability under threat.

Bankers argue that the new provisions, which require institutions to hit reserve requirements on a daily basis instead of monthly, are inefficient and costly. Major financial institutions are preparing a document with recommendations for operational changes to present to the central bank, according to two people with direct knowledge of the matter.