- Milei pledges economic shock
- Austerity to cut debts
- Challenges in failing economy
In his first speech following his inauguration, the far-right president of Argentina pledged to administer economic “shock treatment.”
Javier Milei reiterated his “there is no money” warning to the Argentine people and his commitment to a strict austerity program.
An unexpected election triumph was secured by the populist interloper in November, who made radical commitments to revitalize the struggling economy of the South American country.
On Sunday, the inauguration of Mr. Milei took place in Buenos Aires.
The 53-year-old concluded his extraordinary ascent to power with a speech that left Argentines with no doubt that he intended to pursue an economic path, unlike any previous president amid a day filled with pageantry and ceremony.
He pledged to reverse “decades of decadence” through severe expenditure cuts intended to reduce enormous public debts and inflation, currently more significant than 140%.
According to Mr. Milei, the fundamental truth is that both shock treatment and austerity are without viable alternatives.
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“It is evident that the situation will only deteriorate shortly.” However, we will eventually observe the results of our labors.
During a procession to the presidential palace, Mr. Milei waved to supporters alongside his sister Karina, the trusted individual who is anticipated to hold a significant position of authority in the background of his new administration.
From the balcony, he chanted campaign slogans and addressed the audience. He also received the blue and white presidential ribbon and baton, which he personalised with his five dogs.
Mr. Milei has surged from near-obscurity to the highest office in Argentina on a right-wing platform that includes the denial of climate change, the liberalization of firearms laws, and restrictions on abortion rights.
On the campaign route, he was frequently depicted brandishing a chainsaw, and his relentless declarations have drawn comparisons to those of former Brazilian President Jair Bolsonaro and former US President Donald Trump.
Throughout his campaign, he pledged to substitute the Argentine peso for the dollar. Additionally, he promised to eliminate the central bank and numerous other government agencies.
Despite his broad presidential powers, Mr. Milei will face political limits as he tackles some difficult topics.
According to IMF data, the peso, the troubled currency of Argentina, is in a protracted freefall. Poverty has risen to 40 percent, and the economy is in a severe recession.
Without a doubt, Mr. Milei has come into power to a failing economy. He may stick to his campaign promises or compromise on extreme solutions.
In Argentina’s Congress, the coalition of small right-wing and libertarian parties he heads is only represented in the minority. The new president will likely encounter opposition.
International Engagement and Early Actions
Some observers have noted a more moderate demeanor since confirming his victory. After only hours on the job, the newly elected president signed a decree reducing the number of departments from eighteen to nine, fulfilling a key campaign pledge and signaling his intent to govern as advertised.
Several Latin American leaders were in attendance at the swearing-in ceremony, including Ukrainian President Volodymyr Zelensky, who has conferred with them to bolster international support for his nation’s war effort.
Mr. Zelensky later told reporters that the two were photographed embracing and discussing methods in which Argentina could assist Ukraine.
In addition, Hungarian President Viktor Orban, an individual to whom Mr. Milei has been ideologically compared, was in attendance.
As soon as the spectacle and ceremony surrounding the inauguration subside, attention will shift. It will focus on the practical approach of their new president to the presidency.
Furthermore, voters’ discontent with previous administrations fueled his last success. Now, Mr. Milei must deliver to avoid disappointing his supporters. His honeymoon period is probably going to be brief.
