While Argentina would benefit highly from investments in
infrastructure, the current status of the country makes it a
challenge for investors. With political changes pending and the
investigation of corruption scandals still lingering, there is some
risk surrounding involvement in infrastructure projects and when
would be the right time to get involved.
About two years ago, the Argentine government tried to bring
more foreign investment for infrastructure into the country by
passing new regulations using the system of Public Private
Partnership (PPP). This would have assigned the risks of a project
differently, with some risks taken by the public and some taken by
the private contractor. This system allowed for a more agile
process when selecting who would be responsible for different
components of the projects. The old process, which had the state
giving out contracts, was slow and also could lead to corruption.
The new regulation allowed for more transparency. The
