Argentina to utilize ANSES FGS assets to back $2 trillion mortgage financing scheme

The Milei administration is leveraging the Sustainability Guarantee Fund (FGS) of the social security agency (ANSES) to provide liquidity for new mortgage loans capped at UVA + 7.5%. It remains uncertain how this reallocation of pension-linked assets will impact long-term fiscal sustainability and whether private banks will absorb the credit risk under current inflationary conditions.