from Your News:
President Javier Milei’s first year in office has been marked by painful reforms, but signs of economic recovery, including falling inflation and a fiscal surplus, are boosting his popularity.
By yourNEWS Media Newsroom
President Javier Milei of Argentina has completed a turbulent but transformative first year in office. His relentless economic reforms, once viewed as overly harsh, are beginning to yield results that could reshape Argentina’s troubled economy. Milei’s approval ratings have rebounded, buoyed by falling inflation, a fiscal surplus, and signs of poverty reduction, as reported by The Telegraph.
TRUTH LIVES on at https://sgtreport.tv/
When Milei took office in December 2023, Argentina’s economy was plagued by sky-high inflation, chronic fiscal deficits, and widespread poverty. Monthly inflation stood at a staggering 13%. By October 2024, it had fallen to 2.7%—still high by global standards but a dramatic improvement for Argentina. The country has also achieved its first fiscal surplus in over a decade, signaling a turning point in its economic recovery.
Painful Reforms Yield Progress
Milei, a self-proclaimed free-market absolutist, implemented severe spending cuts, reducing public expenditures by a third and laying off 30,000 public sector workers. These measures initially dented his approval ratings, which dropped by 10 points early in his presidency. However, his pragmatic approach to governance and commitment to economic stability have helped his popularity rebound. Recent polls place his approval rating as high as 56%, up from 47% earlier in the year.
“Milei has defied expectations,” said Juan Ignacio Carranza, an Argentina specialist at Aurora Macro Strategies. “Although the official statistics will not be published until next year, poverty, which rose to 53% in the first half of 2024, appears to be falling. Wages are rising gently, and GDP is projected to resume growth in 2025.”
International Attention
Milei’s reforms have drawn international acclaim, particularly among conservative leaders and economists. He recently became the first world leader to meet with U.S. President-elect Donald Trump following Trump’s election victory, further cementing his status as a rising figure in global conservative circles. His signature golden chainsaw, a symbol of his budget cuts, has become an emblem of his determination to overhaul Argentina’s “big state” economy.
Looking Ahead
While the economy contracted by 3.5% in 2024, analysts believe the worst may be over. Milei is now considering cutting taxes, a move that could further bolster his popularity and spur economic growth. If these trends continue, Milei could secure a legacy as a transformative leader who reversed Argentina’s economic decline.
