Uruguay has often been accused of operating as something of a tax haven for the Buenos Aires elite. Many crooked Argentinian politicians hide their embezzled money across the border, and businessmen often move operations to Uruguay to enjoy lower tax rates. The country is largely regarded as being more business-friendly than its neighbor from across the Rio de la Plata. Now, however, Uruguay is drawing the attention of Argentina’s big business.
Talk of company migrations has increased since 2019, when pro-market former President Mauricio Macri lost re-election to the more interventionist left-wing duo of Alberto Fernández and Cristina Fernández de Kirchner.
Rising taxes and unpredictable regulations have already caused some of Argentina’s wealthiest individuals to up sticks. Many in the upper-middle class say they fear a roller-coaster of economic crises and their social consequences, spotting a greener lawn next door in Uruguay.
But large businesses are very hard to move. Moreover, Uruguay is a small country with a high cost of living. The dreams of getting out of the country — more and more common in the Argentinian capital — come with their limits.
Among the big Argentinian business figures their sights on Uruguay are Marcos Galperin, founder of e-commerce giant Mercado Libre, agribusiness magnate Gustavo Grobocopatel, Banco de Valores’ Juan Nápoli, and Martín Migoya — CEO of IT service provider Globant, which has operations in 13 countries.
Mr. Galperin has always had one foot in Uruguay, moving there in the aftermath...
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