The Limited Times

Now you can see non-English news...

The six urgent problems that Javier Milei has to face before taking office

2023-11-20T17:16:01.665Z

Highlights: The new president will have to build himself the tools he needs to govern. Javier Milei needs a budget voted by Congress to start his government. Peronism has no leader, and neither does Radicalism. Milei's team has so far made no willingness to negotiate with what they call the caste. The dollar and the inflationary flash that will occur when the prices that the government of Alberto Fernández, Cristina Kirchner and Sergio Massa have stepped on are released.


The new president will have to build himself the tools he needs to govern.


Javier Milei is the new president-elect. The transition started off rocky and could accelerate in the coming days. By 10 December, the new government will have to deal with at least six urgent problems.

The level of adjustment in the Budget

Javier Milei needs a budget voted by Congress to start his government. He does not have it because he asked the government in a letter not to deal with him. It was a trap set by the ruling party, which Milei bought. In September, the libertarian agreed with Sergio Massa that the ruling party would delay sending the draft 2024 Budget until a new president was elected. It was good for Massa because the minister-candidate did not have enough votes to approve the numbers he wanted.

The dispersion of the opposition

La Libertad Avanza does not have the necessary support to govern and, moreover, it does not have interlocutors who can fulfill the promises made to it. Peronism has no leader, and neither does Radicalism. Milei got the support of Mauricio Macri, which will end up disciplining the PRO almost entirely, but has the country's two main parties in a state of disintegration due to the defeat. Today, it is not clear who leads the parliamentary blocs of Peronism: Cristina Kirchner? Sergio Massa? Axel Kicillof? Any other governors? No one knows today. Something similar happens in radicalism. The defeat of the ruling party and the reinforcement of other sectors of the party, such as the Mendoza branch and the nuclei that congregate around some of the triumphant governors, put the UCR on the boil.

Lack of negotiating vocation

The lack of experience and negotiation vocation evidenced by the main leaders of La Libertad Avanza so far. Milei's team has so far made no willingness to negotiate with what they call the caste. Despite the fact that the runoff gave great legitimacy to the new president, the party will have to understand and put in its favor the necessary mechanisms to govern.

Little territorial weight

Milei's lack of federal dispersion. The libertarian won throughout the country, but so far he has only one potential ally in only one district: the Federal Capital. Jorge Macri is already working on an alliance in the Buenos Aires Legislature and offered a Mileist leader the first vice-presidency of the body. It will be the first manifestation of a territorial alliance between Milei and Macrismo, but the new president has the responsibility to seek more agreements of this style.

Urgencies with the IMF

Milei has to reach a quick understanding with the International Monetary Fund, because the agreements Massa signed have long since exploded. Its officials will have to travel to Washington as soon as possible, but first they will have to agree with the new president on what they will propose to the Fund. It is not yet clear what Milei wants to do with that agreement, but it is clear that he will have to face an expiration a few hours after taking office in the Casa Rosada.

The Dollar and the Inflationary Flash

The most pressing of all the problems is the dilemma of the dollar and the inflationary flash that will occur when the prices that the government of Alberto Fernández, Cristina Kirchner and Sergio Massa have stepped on are released: fuel, utility rates, transport and other price agreements.

Source: clarin

All news articles on 2023-11-20

You may like

Trends 24h

Latest

© Communities 2019 - Privacy

The information on this site is from external sources that are not under our control.
The inclusion of any links does not necessarily imply a recommendation or endorse the views expressed within them.