3 Effective Ways to Access the Blue Dollar Rate in Argentina
Argentina's complex and ever-changing economic landscape presents a hurdle: the official exchange rate often falls short of the true value of your money. This disparity has led to a parallel exchange rate known as the “Blue Dollar,” locally called “Dólar Blue.”
The Blue Dollar is an unofficial exchange rate for US dollars—the country's de facto currency for savings—outside the traditional banking system. It typically offers a significantly higher rate, often twice the official exchange rate set by the government.
This difference arises from Argentina's history of economic crises, high rates of inflation, and currency controls, which have led to distrust of the banking system, especially after the 2001 financial crisis. Consequently, this has created a black market for dollars, targeting mainly ex-pats, freelancers/remote workers, and tourists visiting the country.
This article discusses three effective strategies for securing the best forex rate in Argentina using Paxful, Western Union, and local money changers called Cuevas (meaning "cave" in Spanish).
Using Western Union to get Blue Dollar
The USD to ARS forex rates on Western Union uses the Blue Dollar rate rather than the official rate, so you always get a better deal with this method. If you’re traveling to Argentina from another country, you can send money directly to yourself by putting your name as the receiver. You may also ask your friends or family to send you money from abroad through Western Union.
When using Western Union, choose the cash pick-up option but make sure to check the current exchange rates before you go to pick up your cash, as rates can fluctuate daily. While Western Union is a reliable and widely used service, there might be times when other providers offer a better Blue Dollar rate. Doing a quick comparison can save you a significant amount of money.
Using Western Union to get Blue Dollar rates is best suited for expats, digital nomads, freelancers, or Argentines abroad who want to send remittances back home. The catch is that Western Union is known for its long lines, especially when picking up cash. Be prepared to wait, particularly during peak hours or holidays.
Read more on how to send and receive money via Western Union here.
Using Cuevas to get Blue Dollar
One of the most effective ways to obtain Blue Dollars is through “Cuevas” (caves), informal exchange houses that operate outside the official banking system. While it might sound risky, as it is not fully registered and regulated by the government, Cuevas is a well-established part of the Argentine economy and offers a more favorable exchange rate than official channels.
Why choose Cuevas? The primary reason for using Cuevas is the better exchange rate. This significant difference can make a huge impact, especially when dealing large sums of money. Moreover, transactions in Cuevas are usually quicker and less bureaucratic, saving you time and hassle. Remember to take safety precautions, though, as this method can be risky, as you’re walking away with hard cash.
How to find reliable Cuevas
Finding a trustworthy Cueva can be tricky but not impossible. Word of mouth is often the best way to locate a reliable one. Ask locals or expatriates who have been in Argentina for a while.
Additionally, some online forums and social media groups dedicated to expats in Argentina can provide valuable insights and recommendations.
Why use these methods?
The primary reason for using these methods is the significant disparity between the official USD to ARS exchange rate and the Blue Dollar rate.
The official rate, controlled by the Argentine government and banks, is often much lower than the street value. For example, the official rate might be 1 USD = 911 ARS, while the Blue market rate could be as high as 1 USD = 1,365 ARS. The Blue Dollar rate gives you more bang for your buck.
These methods offer practical solutions for anyone needing to convert USD to ARS, allowing you to bypass the lower official rates and take advantage of the more beneficial Blue Dollar rate. Whether you choose Western Union, or Cuevas, each method has pros and cons, so consider your specific needs and circumstances when deciding which approach to take.
