Corralón

Corralón was the informal name for the economic measures taken in Argentina at the beginning of 2002 by President Eduardo Duhalde during a bank run in which deposits and debt in dollars were exchanged to local currency at 1.4 per dollar for deposits and 1.0 for debt (this was also called pesificación asimétrica).

The corralito was hardened during the interim rule of President Eduardo Duhalde and turned into a corralón ("big corral").

The corralón differed from the corralito in that most deposits were forcibly exchanged for a series of bonds denominated in pesos.

The real necessity of such decision was questioned by several observers at the time, and some suggested this move benefited some large companies which were insolvent (or nearly so) whose owners had sent their dollars abroad before the corralito; these owners were thus able to repay their companies' now devalued debts by converting much fewer dollars than it would have taken previously.

[4] Many private enterprises and also the Province of Buenos Aires were favoured by this measure as they managed to decrease their debts.