A strong rift opened between the President of the Republic and the governors.
The Casa Rosada agreed to modify 50% of the Base Law and even withdrew the tax issue.
A negotiating ability that Milei was supposed to lack.
Some of the governors confused a desire for dialogue with weakness.
The pro-government legislators and their “dialogue” allies were surprised by the “counterorder” of the governor of Córdoba.
Curiously, the conflict breaks out when dealing with trusts, described as “opaque” by analysts whose impartiality there is no doubt.
Twenty-nine of these trust funds spend 2% of Argentina's Gross Domestic Product each year.
This sidereal figure lacks, in most cases, any control.
The vast majority were created by Kirchnerism with plausible excuses, but manifest “darkness.”
Many governors were elected by the same Milei voters.
At least one of them beat Peronism by cutting the ballot by “sticking” to the liberal presidential candidate.
It is likely that the political articulation to “save” the trusts is made up of many governors and deputies who acted in good faith.
The truth is that Milei and many of them were elected to emerge from so many years of prostration and should rethink how to end a system without controls, which does not meet the objectives for which it was said they were created. Dismantle that expense, separating "the wheat straw”, would greatly help the objective of reducing exorbitant public spending, ending inflation and achieving the promised free competition of currencies.
Collision must be avoided.
The most logical path is a Fiscal Pact where the Nation and Provinces eliminate superfluous expenses and protect citizens.
It is clear that without deficit 0 the exit from inflation and recession is impossible.
Even Kirchner said it in his inaugural speech: “
the wise rule of not spending more than you earn must be observed.
The fiscal balance must be taken care of (...) The balance of the public accounts of both the Nation and the Provinces is fundamental (...) You cannot resort to the issuance of currency without control, causing inflationary risks (. ..) The maintenance of the primary surplus and the continuity of the external surplus will make us grow."
Of course, over the course of its four governments, Kirchnerism abandoned its leader's postulates.
The government headed by Alberto Fernández did the opposite: excessive discretionary spending, monstrous increase in public spending, fiscal deficit, hyper monetary emission and the legacy of stagflation (inflation with recession) that all Argentines are suffering, and that the party they usurp Alberto Fernández and Máximo Kirchner insist on aggravating it with an obstructionist parliamentary tactic.
Those who simulate a Peronism that they never felt, confuse defending rights with preventing a way out of the drama in which they were complicit: the destruction of the productive apparatus, half of Argentines below the poverty line, the destruction of health and public education.
They still do not understand that the people did not betray them.
They betrayed the people and they, at the polls, “made the lesson thunder.”
Carlos Ruckauf is former vice president of the Nation and former Minister of Foreign Affairs.