As a situation of public knowledge, the recent Argentine Peso 30% depreciation after the general primary elections has taken a toll in the Argentine AF’s budget. Due to the impact of the new currency rate to the U.S. dollar, the Defense Ministry, according to the Ambito newspaper has cut on the requests for the Argentine AF to the Fabrica Argentina de Aviones (FAdeA) from 4 to 2 IA-63 Pampa Serie III for this year. Also, a decision was made on provisions made on behalf of the production for the 5th aircraft to be delivered. This has come as blow right after the suspension of the purchase agreement with Guatemala for 2 with an option of 5 (which as you have seen have been temporarily absorbed by the Argentine AF) and the loss of those millions of dollars which are critical to FAdeA’s financial stress. Still, everything is not lost,
since the Aug 11th Guatemalan general election proved successful to
the official candidates and there are chances that following the inauguration, talks
could be in place to establish a renewed and streamlined acquisition process.