The western and northern provinces of Argentina have reason to be optimistic when they look at the projects that the Incentive Regime for Large Investments (in Spanish, RIGI) has greenlighted.
Out of 21 approved investments, 12 are in the mining sector. Located in the provinces of Mendoza, San Juan, Catamarca, Salta, and Jujuy, these projects are expected to involve an investment of over US$21 billion.
Official estimates suggest that lithium, copper, gold, and silver mining projects would also help create over 65,000 direct and indirect jobs. Furthermore, Deregulation Minister Federico Sturzenegger predicted that, in the coming years, mining ventures would cause one million people to migrate to Catamarca and another 800,000 to San Juan.
In the meantime, however, these provinces are suffering from severe economic hardship.
According to a recent study by Austral University based on the latest official data, economic activity in those five provinces fell 4.2% year-over-year in May, with a monthly decline of 2.3% compared to April.
