The Government and the Central Bank are already talking about recession. Loans in pesos to the private sector plummeted more than 40% in January in real terms.
There are already suspensions and layoffs in some companies. The unknown is whether this recipe will lower inflation. The thing is that if the government fails to accumulate dollars and reduce the deficit, it does not rule out the market, says Orlando Ferreres, of Econviews. In his inauguration speech with his back to Congress, Javier Milei warned that "hard" times would come, but assured that "there is light at the end of the tunnel"