Climate and fiscal problems limit the benefit of the high dollar in regional economies

The new high dollar scenario will have a positive impact on regional economies because the real exchange rate "is the most competitive since 2010" according to a report by Ieral de the Mediterranean Foundation which relativised in one way or another the advantages that can be caused in provinces "delicate tax situations" and which were hit by drought of the first quarter . ] " The real exchange rate is the most competitive of the last eight years, comparable to that recorded in 2010. The devaluation was stronger than in 2014 and 2016, episodes where the" exchange rate "was the highest. Subsequent inflation has canceled out the favorable effects to the export, "said economist Jorge Day.

The report made the reservation that in several of them operates as a ballast "delicate fiscal situation" . In as much, the fruticultura will have to wait the next campaign to take advantage of the change of scene whereas the provinces of the region of Pampas can begin to overcome effects of the drought although partly its industrial activities depend on the situation in Brazil.

Day noted that " now the behavior of inflation may be different, but this should be corroborated in practice ". "The provinces of Patagonia and Cuyo can benefit from the impact of foreign tourism and improved profitability of mining and hydrocarbons," he said.

On the other hand, in the north of the country, the study surveys less than the average on the activities that develop tradables internationally.

"Moreover, in terms of taxation, there is a greater dependence on the transfer of resources from the Nation. These disadvantages can be partially offset by the eruption of productive activities linked to the world market, in the case of lithium, lemons, tea, afforestation and so on, "said Day.