What is IFC’s role in Argentina’s mining sector?

The IFC has been present in Argentina as a proactive partner for development for over 60 years. Today, IFC is involved in sustainable financing and activities related to sustainable energy and climate change, which support the country's overall development. We bring a global perspective to development finance, leveraging expertise gained from working in Africa, Asia, and Latin America. Given that Argentina is heavily reliant on oil and gas revenues, we also view mining as a means to balance this reliance and achieve long-term macroeconomic stability while also contributing to the energy transition.

Heading into 2026, mining in Argentina is at a critical stage where it needs export-led and private sector-led growth. Argentina, compared to its peers, is a relatively underdeveloped mining market. Over the past 18 months, we’ve seen a surge in investment interest in Argentina. IFC's ability to provide stability is crucial. Long-term financing from us gives investors the confidence to put their own money into Argentina as well. 

What are the key obstacles to investment in Argentina?

Argentina’s infrastructure requires significant upgrades at multiple levels to achieve global competitiveness, from energy and transmission lines to roads and trains. For example, we are partnering with Central Puerto, Argentina’s largest private electricity company, in both advisory and investment projects to construct a transmission line in northern Argentina for the mining sector in the NOA region and support battery and renewable energy and hydroelectric power projects, where lithium extraction takes place. Lithium projects are energy-intensive, and this investment creates the infrastructure to power each one of those projects through the grid. 

Overcoming the longstanding lack of investor confidence is another challenge. To address this, future governments must create a business-friendly environment. The private sector seeks transparency, efficiency, and consistency in regulations and capital controls—normalization of Argentina’s rules to align the business environment with the rest of the world. Investors want to see stability for longer than just one or two years. Trust is not built overnight. Nevertheless, Milei’s government has been more effective than many anticipated, notwithstanding its lack of a congressional majority during the first half of his term.

How do IFC’s activities reflect the World Bank Group’s country strategy for Argentina?

In April 2025, the World Bank Group announced a US$12 billion funding package for Argentina, with US$5.5 billion allocated via the IFC to support private sector development. Our focus areas include infrastructure, critical minerals, agribusiness, energy generation and transmission, as well as other high-impact sectors.

By investing in key sectors, the whole economy benefits. If we create better roads and energy infrastructure in Salta or San Juan for mining, other industries, such as oil and gas, agribusiness, and manufacturing, will also benefit from these same roads. For projects to be bankable, we consider the secondary effects on the economy that make the capital expenditure and operating expenditure proposition acceptable to stakeholders.

Should mining companies be worried about capital shortages both internationally and within Argentina?

There is a lot of appetite and demand, especially in a country like Argentina that is actively courting private-sector foreign investment. We want to reassure the mining sector that capital is available. One of the key things for us is not just to invest our own money, but to mobilize private sector investors. We are encouraged by the fact that in recent years, investors have gradually moved past their “wait and see” approach to a more meaningful assessment of opportunities. They are hiring consultants and lawyers and conducting the necessary research before making investments. 

At the local level in Argentina, some investors have shown interest and supported mining projects. Like any country, Argentina’s mining projects need both local and international capital. Local investors are actively involved in the current privatization transactions and are also participating in mining projects.  

What is the geopolitical significance of the development of Argentina’s critical minerals industry?

Argentina shares a significant degree of homogeneity with the Western world in terms of culture and values, and it has considerable potential in its ability to communicate with investors. Argentina is very well-positioned geopolitically. There are no wars here; it is very safe compared to the locations of many mining projects. All we are waiting for is macroeconomic stability.