After several weeks of increasing tension with the provinces and cutting transfers of national funds, the President of the Nation, Javier Milei,
summoned the governors of the 23 provinces and the head of Government
of the City of Buenos Aires next week.
Aires to a meeting to
sign a ten-point pact
that contains, among other reforms, the change of the Federal Co-participation Law, the reduction of Public Expenditure up to 25% of the Gross Domestic Product, and a pension and labor reform.
The Government will call a meeting with the governors in Buenos Aires next week for a preliminary meeting and then wants to advance in conversations with the most important leaders of the opposition parties to have the agreement ready to be signed on May 25. In cordoba.
The ten points of the agreement that Milei wants to sign are the following.
1.
The inviolability of private property.
2.
The non-negotiable fiscal balance.
3.
The reduction of public spending to historical levels, around 25% of the Gross Domestic Product.
4.
A tax reform that reduces tax pressure, simplifies the lives of Argentines and promotes trade.
5.
The rediscussion of federal tax sharing to end forever the current extortionate model.
6.
A commitment by the provinces to advance the exploitation of the country's natural resources.
7.
A modern labor reform that promotes formal work.
8.
A pension reform that gives sustainability to the system, respects those who contributed, and allows those who prefer to subscribe to a private retirement system.
9.
A structural political reform, which modifies the current system and realigns the interests of the representatives and those represented.
10.
Opening to international trade, so that Argentina once again becomes a protagonist in the global market.
Many of these reforms require laws that will have to be voted on by Congress and that is why the Government needs broad sectors of the opposition to vote for them.
Before announcing the call, Milei admitted that he does not have much hope in achieving the agreement, but said that, with or without this support, he is willing to move forward in cutting public spending to achieve fiscal balance.
News in development