Argentina Senate approves utilities freeze

BUENOS AIRES, May 31, 2018 – Argentinian senators approved a motion in the early morning hours of Thursday to put an end to recent hikes for gas, water and electricity rates.

In a 37-30 vote during a special session, lawmakers passed legislation to freeze rate increases, and possibly revert current tariffs back to November 2017 levels.

Ahead of the vote, President Mauricio Macri said that he would veto the legislation if it was passed by the Senate. The law had previously been ratified by Congress’ lower house on May 9.

Argentina is experiencing financial strains, as the value of the Argentine peso has recently plummeted, causing the country’s central bank to drastically raise interest rates. In the aftermath of that decision, President Macri began discussions with the IMF to open a USD 30-billion line of credit, a move that has led to protests in Buenos Aires.

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