Soon after Argentine Finance minister Alfonso Prat-Gay announced that he is eliminating foreign exchange restrictions propping the peso since 2011, Argentina's peso lost about 30% of its value.

BBC reported that analysts have already predicted a fall of up to 30% from the previous controlled rate of 9.8 pesos to the dollar, and they said that they are expecting it to fall to up to 14.5 pesos to the dollar, which is the rate of the currency trade on the black market.

While this is a cause for concern, Prat-Gay said that the Argentine Central Bank has already been given the right to buy pesos if the exchange rate falls too rapidly, although he did explain the need to remove the said restrictions.

According to Prat-Gay, the restrictions were needed to be removed in order to improve the country's ailing economy, as the exchange controls would be bad for businesses who needed to be allowed to buy as many dollars as they needed, although "ordinary" Argentines are still subject to the restrictions in buying dollars.

Economists are said to have been expecting Argentina's currency to weaken following the end of the restriction. The Wall Street Journal noted that since Argentine President Mauricio Macri came to office, he has moved to undo the economic legacy of the previous government, who expanded the government's role in the economy.

Said previous government headed by Cristina Fernandez de Kirchner and her late husband Nestor, tried to end the buying of dollars in 2011, however, the prohibition only fueled people to buy from the black market, and since then, informal street sellers in Buenos Aires have offered foreign currency at higher rates. Although the new policy may satisfy middle and upper-class citizens, consequences are also to be expected: mostly higher prices and potential devaluation of their own currency.

Mr Macri's administration has already moved in with his own way of combating the economy, by eliminating most farm export taxes, cut personal income taxes, and even restaffing Argentina's discredited statistics agency.

He also replaced the central bank president, but it seems that scrapping the currency controls is the biggest move so far, and will be one to shape the coming months.

These decisions made by Macri are said to be aimed at sparking growth by improving the agribusiness sector, in the sense that they are urged to start exporting again to bring badly needed dollars to the country. These decisions should also pave the way for investors to be more confident in putting their money in Argentina.