(Reuters) - Argentina’s President Mauricio Macri campaigned on a promise to enact business-friendly reforms to attract foreign investment and spur economic growth after a decade of populist rule left multinational firms sidelined.
Since he took office in December 2015, foreign companies have announced new investment plans worth about $33 billion in Argentina, with most coming from companies based in the United States, Germany, Canada, Spain and Brazil.
Total investment, including local companies and joint investments between Argentine and foreign companies, has totaled $58.6 billion, according to Argentina’s Trade and Investment Promotion Agency.
Local consultancy Abeceb says the country will need investment to grow by at least $9 billion annually between 2018 and 2021 to guarantee sustainable growth.
Below is a list of investments worth $1 billion or more announced by foreign companies since December 2015:
The German engineering group plans to invest and provide financing for $5.6 billion in infrastructure, mobility and energy management over four or five years. Siemens would not itself invest the full amount of money, with some coming from public sources.
The U.S. chemical company has said it will invest $2 billion in oil and gas projects with Argentina’s state-owned oil company YPF SA. A December 2015 plan to invest between $400 and $500 million in shale exploration in the Vaca Muerta play was the first major investment announcement of Macri’s term.
The Argentine energy company, partially owned by China’s CNOOC Ltd, will invest $1.5 billion to expand its local Campana refinery, Thomson Reuters publication Project Finance International reported in May.
The Spanish bank said in November 2016 it would invest 20 billion pesos ($1.26 billion) toward modernizing branches, opening new ones, improving technology and building a new corporate office building. (bit.ly/2hxiPuI)
The Anglo-Dutch oil major said in September 2016 it planned to invest $300 million a year in Argentina through 2020 in exploration as well as refining, distribution and marketing. The company has been active in exploring Vaca Muerta.
The Brazilian miner said in April 2016 it would invest $1.5 billion to restart its Rio Colorado potash mine, which had been closed since 2012. (clar.in/2hNuinR)
The unit of BP PLC said it would invest $1.4 billion in exploring and producing Argentina’s conventional and unconventional energy reserves.
The U.S. soft drink maker said in January 2016 it would invest $1 billion over four years in its bottling and distribution operations.
($1 = 15.8540 Argentine pesos)
Reporting by Luc Cohen; Editing by Bill Trott