Following the Central Bank's December 15 announcements on exchange rate bands and reserves, Argentina's country risk fell to an intraday low of 555 basis points on December 17—its lowest since July 2018—closing at 569 points amid market optimism.
Argentina's country risk, measured by JP Morgan's EMBI index, reached a seven-year low on December 17, 2025. It opened at 561 basis points, hit a high of 569, dipped to 555 intraday, and closed at 569, per Rava Bursátil data—the lowest since July 31, 2018.
This continued the positive reaction to the BCRA's Monday announcements updating exchange rate bands to track INDEC inflation from January 2026 and launching a reserve accumulation program. Global bonds in New York gained an average of 2%, with yields falling below 10% annually.
The index dropped 8.8% (55 basis points) over the week from 625 points the prior Friday. As La Nación noted, 'for the first time, all Globales closed with single-digit yields' (Reinhold, M., 12/17/2025). Analysts see this as a key threshold for regaining voluntary external financing, possibly via January 2026 debt issuance.
Country risk reflects the premium on Argentine sovereign bonds over U.S. Treasuries. At 569 bps, it signals improved exchange stability and GDP outlook, benefiting the state, provinces, and businesses.
