Fiscal mismanagement and runaway borrowing by Argentina’s government in the mid-1990s culminated in one of the swiftest economic collapses in history. In December 2001, Argentina defaulted on a crushing $97 billion debt payment. The Argentine peso, pegged at a 1:1 ratio with the U.S. dollar for a decade, was devalued to stem the mounting flight of deposits, and banks were shuttered to halt further runs on the currency. By the time they reopened, Argentina’s president quit and fled by helicopter, its economy minister resigned, and the peso had plunged to a third of its former value. For the next few weeks, the country’s presidency became a revolving door of appointments and resignations.

Adding insult to injury, the wealthy and well-connected were tipped off about the imminent devaluation, and moved their assets offshore prior to the implosion. Argentineans were understandably infuriated. Riots ensued. Once an emerging market darling of Wall Street, Argentina became the only country on the planet to have gained—and subsequently lost—First World status.

With their currency in ruin and imported goods totally out of reach, Buenos Aires locals (los porteños) turned inward to rebuild their lives and their economy. Oddly, those hard times of a few years ago resulted in a resurgence of porteño culture, particularly in the areas of art, music, and cuisine. Times are still tough, but the city’s largely European flavor, its inhabitants’ zest for life, and favorable exchange rates make for a tempting combination for the traveler. Buenos Aires is making a comeback.

While it may be the Paris of the South, don’t expect to find grand museums and larger-than-life public monuments in Buenos Aires. Instead, immerse yourself in its culture: art, music, theatre, cuisine, and of course, the tango, arguably the sexiest dance ever invented.

Museums are not a Buenos Aires forte, but the Museo Nacional de Belles Artes, which houses works of Argentinean and European masters, including Monet, Gauguin, Degas, Picasso, and Modigliani, and the MALBA, which features contemporary Latin american art, are worthy additions to your itinerary. For a fascinating glimpse of Argentina’s past, visit Cementerio de la Recoleta.

Tango shows are popular with tourists, but to experience real Argentine tango with the locals, we attended two milongas, one at Salon Canning (Scalabrini Ortiz 1331, Palermo), the other at El Beso (Riobamba 416, Congreso). Click here for a listing of milongas by barrio.

Of Buenos Aires’ 47 barrios, focus on those near the river: Recoleta, Retiro, El Centro, Puerto Madero, Palermo, Palermo Soho, and San Telmo.

Counterfeit bills, especially 10 peso notes ($3.25), are widely circulated in Buenos Aires. The paper on fakes is newer and doesn’t feel quite right, and there’s no watermark. While not as widespread as expected, we were buzz-killed by a taxi driver who passed us a fake 10 peso note at 2am one night.

In restaurants, tip in cash. The benchmark rate is 10%.

For visitors flying out of Buenos Aires, an airport tax of roughly 55 pesos per person ($19) must be paid prior to departure. Both Argentine pesos and U.S. dollars are accepted.

Before you buy, know that it can be difficult, time-consuming, and costly to take original works of Argentine art out of the country. Expect any package that looks like it might be a painting or sculpture to attract close scrutiny of customs officials at the airport. I don’t even want to say what we did to get an original canvas out of Argentina.

Check out these links for additional information on Buenos Aires (or Argentina):

Wally's Dictionary of Argentine Colloquialism and Culture (Argentine slang dictionary)
GridSkipper-Buenos Aires

Walking

Unlike many large European cities, Buenos Aires is not particularly user-friendly for those that like to do a lot of walking. Individually, barrios are best explored on foot, but the city is just too immense to rely solely on walking. In addition, you’ll frequently encounter sidewalks in poor repair, making comfortable, sturdy shoes essential.

Subte

Buenos Aires’ subway system, called the subte, consists of five lines (A through E) that fan out from the city center. The problem is that there are no cross-town lines, and barrios such as Recoleta and Puerto Madero have no subte access at all. The good news is that it is very inexpensive: a single fare is 70 centavos (less than $.25). Tickets are sold at manned booths at all stations.

Taxis

Walking and subte rides can be augmented by taxis. Whenever possible, stick with officially licensed radio taxis, which display a white sticker bearing the red letters IRA on the passenger side of the windshield. Phoning ahead for cabs can provide added safety. It can be beneficial to negotiate fares in advance, particularly for longer rides such as to or from the airport. You do not need to tip cab drivers.