The Isaac Accords: Argentina’s new strategic framework with Israel

On April 19, 2026, Argentina’s President Javier Milei and Israel’s Prime Minister Benjamin Netanyahu announced the launch of the Isaac Accords, a diplomatic and strategic framework intended to strengthen ties between Israel and Latin American nations.

The event marks a significant foreign policy development from the Milei Administration, positioning Argentina at the center of a reconfigured Western Hemisphere strategic architecture.

Our alert summarizes the Isaac Accords and provides key considerations for entities operating in Israel and Argentina.

What are the Isaac Accords?

Initiated by President Milei, the Isaac Accords are modeled on the Abraham Accords, under which the United Arab Emirates, Bahrain, Morocco, and Sudan normalized relations with Israel. The Isaac Accords are intended to provide a parallel framework of cooperation across the Western Hemisphere, including related to security, innovation, and democratic values.

Key outcomes announced from the signing

The signing was accompanied by several initiatives and stated areas of cooperation, including:

• A strategic security framework. The Isaac Accords establish coordinated action against terrorism, antisemitism, drug trafficking, and Iran's expansion of terrorist networks across the Western Hemisphere.
  
  
• Artificial intelligence (AI) and technology cooperation. A memorandum of understanding (MOU) on AI was signed by Foreign Ministers Gideon Moshe Sa'ar and Pablo Quirno Magrane, covering supercomputing infrastructure, AI deployment in civilian sectors, human capital development, and joint research between Israel's National AI Headquarters and Argentina's Ministry of Science, Technology, and Innovation.
  
  
• Direct air connectivity. Israel’s national carrier, El Al, announced plans to launch non-stop flights between Tel Aviv and Buenos Aires beginning in December 2026. The route will be the carrier's first South American service.
  
  
• Embassy relocation. President Milei announced Argentina's decision to move its embassy from Tel Aviv to Jerusalem. This step would align Argentina with a small group of countries that have relocated embassies to Jerusalem.

Broader implications for Argentina and Israel

The Isaac Accords carry significance for both Argentina and Israel, helping shape the countries’ bilateral relationship while situating it within a broader geopolitical and economic context. Key implications include:

• Geopolitical repositioning. The Isaac Accords add a major Latin American partner to Israel’s diplomatic coalitions as it seeks to broaden its alliances. For Argentina, the decision reinforces alignment with Israel amid continued attention to the 1994 Asociación Mutual Israelita Argentina bombing and the 1992 Israeli embassy attack. Under President Milei, Argentina has taken additional steps by designating the Islamic Revolutionary Guard Corps as a terrorist organization, downgrading diplomatic engagement with Tehran, and supporting efforts to prevent Iran from acquiring nuclear capabilities. The Isaac Accords may further formalize this alignment by establishing a framework for cooperation.
  
  
• US involvement. United States Ambassador to Israel Mike Huckabee attended the event as an emissary of President Donald Trump. The presence of a US Ambassador at the ceremony may underscore the Isaac Accords’ role in tightening ties among Argentina, Israel, and the US.
  
  
• Technology, innovation, and investment. The Isaac Accords open a structured channel for economic and technological cooperation. Israel's tech sector aligns closely with Argentina’s reform and modernization agenda. For Israel, Argentina represents both a significant market and a platform for scaling innovation into South America. For Argentina, Israeli investment represents a high-value source of foreign direct investment and knowledge transfer for Argentina's reform agenda. The AI MOU is the first concrete expression of this pipeline, with potential to expand into multi-sector partnerships and sustained foreign direct investment flows.
  
  
• Regional leadership signal. Prime Minister Netanyahu called on other Latin American countries to join the Isaac Accords, positioning the framework as a potential model for broader regional participation. Argentina’s alignment with the Isaac Accords is consistent with President Milei's broader goal of establishing a libertarian, pro-Western model across the hemisphere.

Argentina's economic context

Argentina has pursued a macroeconomic stabilization and reform agenda under President Milei. Key developments include:

• Macroeconomic shifts. Inflation has dropped from 211 percent to approximately 30 percent per year, reaching its lowest point since 2018. The budget shows a surplus for the first time in 14 years, and in April 2025, currency controls were nearly entirely removed.
  
  
• Energy, mining, and critical mineral projects. The Vaca Muerta Formation is expected to impact Argentina’s energy balance, with a USD10 billion surplus projected in 2026. Oil output is nearing one million barrels per day, and infrastructure plans aim to achieve USD30 billion in annual hydrocarbon exports by 2030. National reserves include 802 trillion cubic feet of gas and 27 billion barrels of shale oil. Under Argentina’s Incentive Regime for Large Investments, 12 mining projects have been approved, worth over USD31 billion. These are supported by the world’s second-largest lithium reserves and fourth-largest copper reserves.
  
  
• Agribusiness and trade expansion. With export tariffs reduced, agribusiness is expected to achieve record exports in 2026. Meanwhile, the knowledge economy exports roughly USD10 billion in tech-enabled services annually.

Key implications

For businesses across practice areas, the Isaac Accords may present opportunities for transactional activity and advisory needs. Cross-border M&A and investment structuring between Israeli companies and Argentina may accelerate, particularly in sectors such as AI, cybersecurity, agri-tech, and defense adjacent technologies.

The AI cooperation framework, in particular, may generate sustained regulatory and contractual advisory work as both governments develop implementation frameworks. In parallel, the security and counter-terrorism dimensions of the Isaac Accords could affect compliance frameworks, including related to sanctions screening, export controls, and anti-money laundering obligations for businesses operating across Argentina, Israel, and the wider Latin American region.

For more information, please contact the authors.