Argentina’s Regime for Major Investments: Extension to Adhere and Relevant Changes

In brief

On 19 February 2026, Decree 105/2026 (“Decree”) was published, which (i) extended for one year, until 8 July 2027, the deadline to adhere to the Incentive Regime for Large Investments (RIGI), pursuant to the authority granted by Law 27,742 (“Bases Law”); (ii) expands the RIGI benefits to new onshore hydrocarbon developments and other advanced technological activities; (iii) adjusts the minimum investment amounts and the criteria for project expansions; and (iv) modifies suppliers’ access to the benefits.

In focus

The most relevant provisions are:

• Extension of the adhesion period: The deadline to join the RIGI has been extended to 8 July 2027, as established in Section 168 of the Bases Law.
• Amendments to the definitions in Section 3 of Annex I to Decree 749/2024 (covered sectors):
  • Technology Sector: The scope is clarified to include mobility solutions incorporating new pure electric and/or hybrid motor technologies, while preserving all other activities already covered under the current definition.
  • Oil & Gas Sector — Onshore: A new category for onshore new developments is introduced, limited to areas that, at the time of the application, have no significant development or exploitation investments, and subject to a minimum investment requirement of USD 600 million.
  • Oil & Gas Sector — Offshore: Covers offshore exploration, exploitation, and production activities, reduces the minimum investment requirement to USD 200 million (previously USD 600 million), and establishes an obligation to ensure segregation and traceability when activities not covered by the regime are also carried out.
• Suppliers with imported goods: The Decree narrows the scope of goods eligible for import benefits, restricting them to capital goods (BK), information and telecommunications technology goods (BIT), and inputs or intermediate goods that have undergone transformation (tariff‑heading shift) or have been substantially incorporated into the project — subject to a cap of 50% of the contract value, unless a justified authorization is granted. It also introduces new documentation requirements specifically for these suppliers, enhancing traceability, contractual substantiation, and the review of the related foreign‑exchange flows. For Single Project Vehicles (VPUs, for its Spanish acronym), the exceptional mechanism allowing the import of non‑BK/BIT goods is preserved, provided they are technically essential and supported by independent certification.
• Expansions:
  • Pre-existing projects: The expansion must result in an increase in production capacity. In the Technology sector, the expansion may also take the form of introducing a new product, provided there is substantial innovation, a minimum investment of USD 250 million, and a product lifecycle of no more than 10 years, supported by an accompanying report.
  • Expansions seeking to adhere as a Single Project: A new mechanism is introduced that enables the expansion of a non‑adhered preexisting project to qualify for RIGI as a Single Project, provided it satisfies all regime requirements and the applicable sectoral minimum investment threshold. The expansion must be implemented through a Dedicated Branch, and the associated benefits apply exclusively to the incremental production or capacity. Sharing infrastructure is permitted, provided that segregation and traceability are properly ensured.
  • Projects already adhered to RIGI: Expansions may access benefits without prior authorization, although they do not extend the original project’s terms or rights.
• Amortization: The Decree clarifies that the Enforcement Authority may authorize the application of accelerated depreciation for infrastructure works, processing and/or treatment plants, including any facilities and capital goods integrated into them, provided certain conditions are satisfied. The same treatment will apply to investment amounts allocated to modification or expansion plans of the approved investment project, where such plans aim to incentivize the development of reservoirs that were not originally covered in a timely manner.
• Import duty exemption: It is clarified that the import duty exemption provided for in Section 190 of the Bases Law applies to the importation of new capital goods, spare parts, parts, and components directly associated with the approved Investment Plan, as long as they are classified as BK or BIT under Annex I of Decree 557/23. In exceptional cases, the VPU may import non‑BK/BIT goods when such items are technically essential for the RIGI Project and supported by independent certification.
• Dividends and profits: The Decree clarifies the application of the reduced tax rates and the treatment of remittances made through entities that own Dedicated Branches, which will act as withholding agents with respect to the portion attributable to the VPU.
• Access to the foreign exchange market: The Decree specifies the criteria under which foreign‑currency contributions made by non-resident shareholders, partners, or joint‑venture members and through financial indebtedness, may be treated as project revenues, provided the funds are traceable and are effectively allocated to the single project. 

Download the Spanish version of Argentina’s Regime for Major Investments: Extension to Adhere and Relevant Changes.