Current U.S. Dollar Value: What is the exchange rate on July 7?
In Argentina, the exchange rate landscape is marked by two primary dollar quotations: the Official Dollar and the Blue Dollar. These differing rates reflect the country's currency controls and economic policies designed to limit the outflow of dollars and control inflation.
The Official Dollar, also known as the Dólar Oficial, is the government-set exchange rate for buying and selling US dollars through banks and official financial institutions. It is generally lower than other rates due to government controls and restrictions on currency exchange. This rate is used for official transactions, imports, and some regulated financial operations.
On the other hand, the Blue Dollar, or Dólar Blue, is the informal or "black market" exchange rate. It typically offers a much higher rate than the official one due to demand for dollars outside government controls. This rate is used by individuals and businesses looking to exchange currency unofficially.
The Blue Dollar is more volatile and not legally regulated, but widely known and used in practice. As of July 7, 2023, the Blue Dollar is trading at around $1,210.00 for purchase and $1,230.00 for sale, which is 30.36 pesos below the official dollar. The exchange rate gap between the official and Blue Dollar quotations is around -2.41 percent.
Credit Card or Online Dollar Rate (Dólar Tarjeta or Dólar MEP) is another exchange rate relevant for electronic transactions and imports. This rate is somewhere between the official and Blue Dollar rates and includes additional taxes and fees.
The Official Dollar has maintained an upward trend over the last five business days, with a 4.52 percent increase. As of July 7, 2023, the official dollar is trading at $1,214.86 for purchase and $1,260.36 for sale. Compared to the last business day, the official dollar is up 1.16 percent. The Central Bank charges $1,230.00 for each dollar it trades, remaining the same as the last day with a movement of less than 1%.
The quotation of the wholesale dollar remains at $1,230.00. The National Bank's website can be found at [National Bank Central Bank]. Individuals can now buy dollars without the previous restriction of US$200, but the purchase of cash dollars at the counter is limited to US$100 per month.
The tourist dollar, also known as the card dollar, is trading at $1,638.47. The CCL dollar, or cash with settlement dollar, is trading at $1,247.37, showing stability compared to the last day. Interestingly, the dollar at the National Bank is the lowest in the market at $1,260.00, while a private entity like the Bank of Galicia shows it at $1,199.50.
These differences significantly impact daily transactions and pricing in Argentina, with many people relying on the Blue Dollar to measure the real value of the peso against the dollar. It is essential for individuals and businesses to understand these rates to make informed decisions about their financial transactions.
[1] Source: Various online news articles and financial reports.
The Blue Dollar, being the informal exchange rate, is often used by individuals and businesses needing to exchange currency outside government controls and for making informed decisions about their financial transactions, given its higher rate compared to the Official Dollar. Concurrently, changes in the official exchange rate, such as its recent 4.52 percent increase, can have significant implications for businesses involving finance and business operations in Argentina.
