Argentina: Bank Accounts Authorised for Salary Payments in US Dollars

Through Communication “A” 8460, the Central Bank of the Argentine Republic (BCRA) authorised the opening of US dollar-denominated bank accounts for the payment of employees’ salaries.

This amendment aligns banking operations with the applicable labour framework, which allows wages to be paid in either domestic or foreign currency. Accordingly, the bank accounts into which employees’ salaries in Argentina are required to be paid, known as “payroll accounts”, may now also operate in US dollars, thereby expanding the options available for the payment of salaries.

In addition, the BCRA established that cash deposits and withdrawals in US dollars from such payroll accounts must be available at the branch where the payroll account is maintained. At other branches, ATMs and self-service terminals, such transactions will be available depending on whether the financial institution has cash available in that currency.

The fee-free regime applicable to payroll accounts also extends to US dollar-denominated accounts, up to the amount of credits arising from the employment relationship, including any unwithdrawn amounts, which may accumulate without a time limit.

This report cannot be considered legal advice or advice of any other kind from Allende & Brea.