The president of Argentina’s central bank says that CBDC will increase tax collection.
In a high-profile declaration of support, Agustín D’Attellis, the Director of the Central Bank of the Argentine Republic (BCRA), threw his weight behind Minister of Economy Sergio Massa’s advocacy for the adoption of a central bank digital currency (CBDC) as a panacea for the nation’s economic woes. D’Attellis, during a televised appearance, articulated his conviction that the “digital peso” (PAD) held the potential to restore stability to the Argentine economy, with a timeline as early as 2024. He emphasized that the CBDC ’s distinguishing feature lay in its traceability, a feature that would enable the government to expand its tax base. In his words, “Through the traceability of transactions facilitated by a digital currency, we can identify the parties involved, thereby broadening our tax revenues. This, in turn, could lead to reducing, or at least not increasing, tax rates.” Beyond its fiscal implications, the PAD also offers a...