Argentina’s president angry
Parliament approves Milei’s reform package
February 7, 2024, 4:08 a.m
During his visit to Israel, the new Argentine president learns that his reform plans are stuck. Parliament refers the deregulation package back to committees. Milei reacts angrily and rails against the “political caste”.
Argentina’s ultra-liberal President Javier Milei’s reform plans for economic deregulation have suffered a setback in parliament. The House of Representatives voted to send the reform proposal from the plenary session back to committees. Milei’s party La Libertad Avanza itself had made the corresponding request due to the lack of support from the other parties – shortly before votes on controversial privatizations were due to take place.
Parliament voted in principle for Milei’s comprehensive reform package last Friday after a marathon debate lasting several days. As a result, debates and votes began on the individual elements and articles of the comprehensive bill. Controversial issues include, in particular, the transfer of special powers to the government in the event of an economic emergency, the extent of privatization of state-owned companies and deregulation and austerity measures in areas such as the electoral system, pensions, education, culture, criminal and family law. Last week there were protests and clashes between demonstrators and the police on the sidelines of the parliamentary debate.
“I will stick to the reform”
Milei reacted angrily to the setback to his reform project. The political “caste” has opposed the will of the people expressed at the ballot box, the president wrote in the short message service X on the sidelines of a visit to Israel. “We know that it will not be easy to change a system in where the politicians have enriched themselves at the expense of the Argentines (…).” But Milei explained that he would stick to his reform plan – “with or without the support of the political leadership class that destroyed our country.”
Latin America’s third largest economy has been in a deep crisis for years. Inflation in the South American country was 211 percent in 2023, and more than 40 percent of the population lives in poverty. The political newcomer and right-wing populist Milei took office in December with the announcement that Argentina would be subjected to “shock therapy.” As a result, the government devalued the local currency, the peso, by more than 50 percent and began reducing subsidies in the areas of transport and energy.