Argentina hydrocarbons hopes rise amid challenges

Significance The increase helped to reverse the energy sector’s continuing trade deficit since 2011. Although developing the oil and gas industry has been a policy priority for recent governments and administrations, President Javier Milei’s liberalisation policies may increase the sector’s attractiveness. Impacts Growing output could help boost exports, foreign reserves, and national and provincial tax revenues. Oil pipeline projects aim to increase exports, while gas pipelines will allow domestic output to replace imports. Argentina’s history of policy shifts remains likely to discourage long-term investments.