Caputo seeks to connect local suppliers to RIGI-backed energy investments

Argentinas Ministry of Economy confirmed on Thursday that it will hold a second business matchmaking event under the Large Investment Incentive Regime (RIGI), this time focusing on the hydrocarbons sector.

The announcement was made by Economy Minister Luis Caputo on social media, just one week after the first event was held in the city of Rosario, Santa Fe.

On that occasion, domestic and international companies involved in mining investments under the RIGI had the opportunity to meet with more than 2,500 local suppliers.

The new event will take place on Wednesday, December 2, in Buenos Aires Province, with President Javier Milei in attendance. It marks another official show of support for energy investments, which, alongside mining and agriculture, are among Argentina’s main export drivers.

Thanks to the strong performance of these three sectors, Argentinas trade surplus has reached record levels in recent months, with exports projected to exceed US$100 billion in 2026, according to estimates by the Economic Commission for Latin America and the Caribbean (ECLAC).

The announcement, however, also comes against a highly challenging backdrop for most supplier companies. Many of them previously relied on orders from the manufacturing and construction industries, two of the sectors hardest hit by Mileis austerity program.

With 27 approved projects totaling US$76 billion, RIGI investments are the libertarian governments main bet on boosting investment and exports and, in turn, generating growth across the rest of the domestic economy.

Economic stagnation toward the end of 2026 Between November 2023 the month before Milei took office and August 2026, the latest month for which official data are available, manufacturing activity fell by more than 7%, while construction plunged 24% over the same period.

The crisis affecting both sectors is one of the reasons Argentinas economy began to lose momentum in the second quarter of 2026, when GDP contracted by 0.6% on a seasonally adjusted basis.

The downturn accelerated so sharply during the third quarter that, even with official September figures still pending, Argentina is widely expected to have entered a technical recession, defined as two consecutive quarters of economic contraction.

Private-sector estimates from consulting firms for September are also far from encouraging. Although they point to an improvement compared with July and August, the month-over-month gains were modest.

For example, consulting firm LCG measured a seasonally adjusted increase of 0.7%, matching Equilibras estimate, while Orlando Ferreres & Asociados projected a gain of just 0.1%.

Meanwhile, the first sectoral indicators for October released so far have yet to provide a clear picture.

Automotive production, for instance, rose 3.9% month over month on a seasonally adjusted basis in October, according to data from consulting firm Outlier. However, output was down 14.4% year over year.

Another example is domestic cement shipments for the local market a proxy for construction activity which fell sharply in October, declining 9.6% year over year and 6.7% month over month, according to the same consulting firm.