Despegar.com, a leading digital travel company in Latin America, plans to reduce prices in Argentina subject to the government’s ability to reduce the PAÍS tax (Impuesto Para una Argentina Inclusiva y Solidaria). The company’s CEO, Damián Scokin, refers to this levy as a significant burden for consumers which, if decreased, could lead to a boost in demand. The PAÍS tax, introduced in 2019 as a temporary emergency measure, was aimed at augmenting income, controlling the dollar exchange rate, and preventing the exhaustion of Argentina’s Central Bank’s international reserves.
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