Kast's Constitutional Security Reform Expands Detention Authority
President José Antonio Kast submitted a proposed constitutional security reform that would implement a new state of emergency allowing detentions of up to 120 days, with a further 120 day extension also permitted. The proposal contains eight separate constitutional modifications intended to combat organized crime.
ASSESSMENT: The proposal signals how far the Kast government is prepared to expand state powers in pursuit of its security agenda, setting up a significant political and constitutional battle over the response to organised crime.
Argentine Supreme Court Constrains Executive's Emergency Decree Power
Argentina's Supreme Court ruled that an article in former President Mauricio Macri's 2019 emergency decree is unconstitutional, reinforcing judicial limits on the Executive Branch's ability to rule by decree. The ruling raises the legal bar for future executive actions on economic or regulatory matters.
ASSESSMENT: The ruling further constrains Milei's ability to bypass Congress via decree, increasing the importance of negotiations with lawmakers as his government pursues further economic reforms.
Argentina Expands Dollar Lending to Non-Exporting Firms
On 13 August Argentina's central bank eliminated a restriction on dollar lending introduced following the 2001 financial crisis. The policy now permits dollar lending to all companies, not only exporters.
ASSESSMENT: Broader dollar credit access could accelerate investment outside the export sector, but also increases currency risk by allowing companies without dollar revenues to take on dollar-denominated debt.
Ueno Bank's $127 Million Software Spend Triggers Regulator Scrutiny
Ueno Bank invested US$127 million in software in 2025, triple the combined spending of nine competitor banks.
ASSESSMENT: The spending has raised questions over whether Ueno is circumventing capital requirement rules, with any finding of non-compliance potentially triggering enforcement action against Paraguay's fastest-growing bank.
Chile's Deregulation Drive Fast-Tracks Project Linked to Official's Brother
A permitting simplification plan driven by influential finance minister Jorge Quiroz has enabled the approval of a major real estate project linked to his brother, Victor Quiroz, which had been delayed by questions over its environmental impact.
ASSESSMENT: The apparent conflict of interest raises questions over the safeguards governing Chile's permitting reform, which the government is using to facilitate investment by unblocking projects held up by environmental assessments.