Updated December 8, 2022
Argentina: An Overview
Situated on the Atlantic coast of South America’s Southern
Kirchner was convicted on corruption charges; while she
Cone, Argentina has a vibrant democratic tradition and
vowed to appeal the verdict, she also said that she would
Latin America’s third-largest economy. U.S.-Argentine
not run for any future office.
relations have been strong in recent years, and Congress
When President Fernández took office in 2019, he faced an
maintains several areas of interest in bilateral relations.
economic recession, high poverty, and unsustainable public
Figure 1. Map of Argentina
debt. Fernández rolled out several measures, including a
food program and price controls on basic goods, to help
low-income Argentines. His government negotiated two
debt-restructuring agreements with private creditors in 2020
for over $100 billion in bonds.
Argentina at a Glance
Population: 45.8 mil ion (2021, IMF est.).
Area: 1.1 mil ion square miles, about the size of the United
States east of the Mississippi.
GDP: $487 bil ion (2021, current prices, IMF est.).
Real GDP Growth (constant prices): -2.0% (2019);
-9.9% (2020); 10.4% (2021, est.); 4.0% (2022 projected); 2.0%
2023 (projected) (IMF)
Per Capita GDP: $10,617 (2021, current prices, IMF est.).
Key Trading Partners: Exports—Brazil (15.1%), China
(7.9%), United States (6.3%); Imports—China (21.4%), Brazil
(19.7%), United States (9.3%). (2021, EIU)

Legislature: Bicameral Congress, with 72-member Senate
Source: CRS.
and 257-member Chamber of Deputies.
Political and Economic Environment
Sources: IMF, World Economic Outlook Database, October
Current President Alberto Fernández of the center-left
2022; and Economist Intelligence Unit (EIU).
Peronist-led Frente de Todos (FdT, Front for All) coalition
won the October 2019 presidential election and was
The Fernández government also sought a new International
Monetary Fund (IMF) agreement to replace the $57 billion
inaugurated to a four-year term in December 2019. He
defeated incumbent President Mauricio Macri of the center-
program entered into by the previous Macri government in
right Juntos por el Cambio (JC, Together for Change)
2018. In March 2022, the IMF approved a new $44 billion,
30-month arrangement that, according to the IMF, sets
coalition by a margin of 48.1% to 40.4%. The election also
returned to government former President Cristina
pragmatic objectives along with policies to improve public
Fernández de Kirchner (2007-2015), from the leftist wing
finances and reduce inflation.
of the Peronist party, who ran on the FdT ticket as vice
In July 2022, Argentina’s economic situation deteriorated
president. A unified Peronist ticket and Argentina’s
further, with accelerating inflation and the peso rapidly
economic deterioration, marked by high inflation and
losing its value. Political infighting within the government
increasing poverty, were major factors in Macri’s defeat.
led to the resignation of Minister of Economy Martín
Guzmán, considered the architect of Argentina’s recent
In November 2021 midterm legislative elections (for a third
IMF agreement, which was strongly criticized by the leftist
of the seats in the Senate and half of the seats in the
wing of the FdT. Fernández initially replaced Guzmán with
Chamber of Deputies), the FdT lost its Senate majority but
an official considered to the left of Guzmán, but in late July
remained the largest bloc in the Chamber of Deputies, albeit
President Fernández appointed the more moderate Sergio
without a majority. The economic impact of the
Massa, the leader of Argentina’s lower house, to head a
Coronavirus Disease 2019 (COVID-19) pandemic and
more powerful economy ministry that also oversees
rising inflation were key factors in the legislative race.
manufacturing and agricultural policy.
Argentina’s next presidential and legislative elections are
In early December 2022, the IMF concluded a third review
scheduled for October 2023. Argentina’s difficult economic
of its arrangement with Argentina that will likely lead to the
situation will likely be a major factor in the elections. In
release of $6 billion in funding. The IMF assessment
early December 2022, Vice President Fernández de
maintained that Argentina’s high inflation rate is
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Argentina: An Overview
moderating and is expected to decrease from 95% at the end
States and Argentina signed an intergovernmental
of 2022 to 60% at the end of 2023.
agreement to share financial information in order to
improve international tax compliance.
Argentina was hard hit by the COVID-19 pandemic with
several surges of infections, most recently in February
U.S. Foreign Aid and Other Support. The United States
2022, but deaths have declined significantly because of the
provided $11.8 million in assistance to Argentina in
country’s high vaccination rate. As of December 8, 2022,
FY2020 (latest full-year data available). U.S. assistance has
the country reported over 130,000 COVID-19-related
supported humanitarian assistance to help with the influx of
deaths since the pandemic began (with a mortality rate of
Venezuelan migrants (currently estimated at around
287 per 100,000 people), according to Johns Hopkins
171,000), training and equipment support to Argentina’s
University, and had fully vaccinated 84% of its population.
military, assistance to support the elimination of child labor,
counternarcotics assistance, anti-corruption assistance, and
The IMF reports that Argentina’s economy contracted 9.9%
technical assistance to improve Argentina’s efforts to deter
in 2020 due to pandemic-related restrictions but estimates it
money laundering. Argentina’s status as a major non-
began a strong recovery in 2021 with 10.4% growth. The
NATO ally since 1998 makes it eligible for preferential
IMF projects 4% growth in 2022 and a slower growth rate
treatment for U.S. transfers of excess defense articles and
of 2% in 2023. Argentina’s urban poverty rate was
other defense cooperation. The U.S. International
increasing in Argentina before the pandemic, reaching
Development Finance Corporation currently supports
35.5% at the end of 2019. It grew to 42% by the end of
financing for two projects in Argentina involving
2020 but declined to 36.5% by mid-2022, according to
Argentina’s National Ins
warehousing operations and COVID-19 vaccine purchases.
titute of Statistics and Census.
Since July 2021, the United States has donated 3.5 million
On foreign policy issues, the Fernández government shifted
doses of COVID-19 vaccine (Moderna) to Argentina.
Argentina’s stance on the Venezuela crisis in 2020,
Trade and Investment Snapshot. The United States ran a
withdrawing recognition of Juan Guaidó as interim
$2.6 billion trade surplus with Argentina in 2021, exporting
president and joining the European-backed International
$7.7 billion in goods to the country (led by machinery,
Contact Group to work through dialogue to bring about
mechanical appliances and oil) and importing $5.1 billion
transparent elections.
(led by oil, gold, fish and crustaceans, aluminum, and
Over the past decade, Argentina and the People’s Republic
wine). In 2021, U.S. services exports to Argentina
of China (PRC) have significantly increased their economic
amounted to an estimated $4.8 billion and U.S. services
engagement, including trade relations. In February 2022,
imports were almost $1.9 billion. The stock of U.S. foreign
Argentina joined China’s Belt and Road Initiative, and
direct investment in Argentina was $12.5 billion in 2021,
President Fernández conducted a state visit to China. China
led by information services, manufacturing, finance, and
also runs a space research facility in western Argentina; the
holding companies. Argentina has been on the U.S. Trade
U.S. Southern Command has expressed concern that the
Representative’s Special 301 Priority Watch List since
facility could track and target U.S. satellites.
1996 due to protection and enforcement problems with
intellectual property rights. In 2016, the United States and
Argentina voted at the U.N. General Assembly to condemn
Argentina signed a Trade and Investment Framework
Russia’s 2022 invasion of Ukraine and to suspend Russia
Agreement that has been the primary mechanism for
from the U.N. Human Rights Council. Before the invasion,
discussing trade and investment issues.
however, President Fernández held talks with Russian
President Vladimir Putin in early February 2022 aimed at
Terrorism Issues. Congress has expressed concern over
strengthening ties with Russia.
the years about progress in bringing to justice those
responsible for two terrorist bombings in Buenos Aires: the
U.S.-Argentine Relations
July 18, 1994, bombing of the Argentine-Israelite Mutual
U.S.-Argentine relations are characterized by robust
Association (AMIA), which killed 85 people, and the
commercial linkages and by shared interest and
March 17, 1992, bombing of the Israeli Embassy, which
collaboration on such issues as democracy and human
killed 29 people. Argentina has linked both Iran and
rights, civil nuclear cooperation and nonproliferation,
Hezbollah (the radical Lebanon-based Islamic group) to the
counterterrorism, climate change, science and technology,
attacks; in 2019, Argentina designated Hezbollah a terrorist
and education. Both the Obama and the Trump
organization. In the 117th Congress, H.Res. 1231 would
Administrations engaged Argentina on various bilateral,
condemn the AMIA attack and would call for
regional, and global issues, with Congress expressing
accountability, and H.Res. 988 would call for accountability
support for such engagement and closer relations.
for the Israeli Embassy bombing.
The Biden Administration has continued this engagement,
In August 2022, an Argentine judge, responding to a U.S.
including through a bilateral working group on defense
Department of Justice request, ordered the seizure of a
issues and a joint committee on nuclear energy cooperation.
Boeing 747 cargo plane operated by a Venezuelan airline; a
In 2021, President Fernández participated in the virtual
U.S. warrant maintained that the plane was subject to
Leaders Summit on Climate and the Summit for Democracy
forfeiture since it had been transferred from an Iranian
hosted by President Biden. In June 2022, President
airline subject to U.S. sanctions because of its affiliation
Fernández attended the Ninth Summit of the Americas,
with a designated terrorist organization in Iran.
where he signed the Los Angeles Declaration on Migration
and Protection to help reduce and mange irregular
Mark P. Sullivan, Specialist in Latin American Affairs
migration in the hemisphere. In December 2022, the United
IF10932
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Argentina: An Overview


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https://crsreports.congress.gov | IF10932 · VERSION 22 · UPDATED

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