Revolution or Regression? Assessing Javier Milei’s Presidency in Argentina

• President Javier Milei’s apparent bias towards the United States and Israel, coupled with a disregard for important regional partnerships and economic realities, may hinder Argentina’s progress.
• Milei’s decision not to join BRICS despite its potential benefits for Argentina suggests a narrow-minded approach to foreign policy. 
• President Milei must prioritize the interests of the Argentine people and adopt a more pragmatic and inclusive approach to governance and foreign relations.

President Javier Milei was elected as the Argentinean president in the second half of 2023. He took over the country from the former president, Mr. Fernandes, who was a socialist leader, during whose presidency the country witnessed significant economic and political turmoil. When President Javier Milei took office, the country was in an absolute disaster, facing triple-digit inflation, with the inflation rate reaching almost 120 per cent, one of the highest in the country’s history and among the highest in the contemporary world. Additionally, over 40 per cent of Argentina’s population lived below the poverty line, and many other sectors of the country were paralyzed.

Upon taking office, President Milei faced major challenges in stabilizing the country. To address these challenges, he proposed to take revolutionary measures.

Firstly, he proposed closing the Argentine central bank, arguing that excessive printing of the national currency, the peso, by the central bank was the main driver of inflation. He believed that by eliminating the central bank, inflation could be controlled since there would be no more printing of pesos.

Secondly, he proposed adopting the US dollar for both domestic and international trade, citing the inadequacy of the national currency for these purposes. He envisioned a shift away from using the peso to using the dollar to stabilize the economy.

Thirdly, President Milei advocated for privatization and reducing the state’s involvement in governance, aiming to streamline operations and improve efficiency. Additionally, he proposed implementing minimal fees for accessing education and healthcare services, aiming to generate revenue and improve service delivery.

However, President Milei’s foreign policy stance raised concerns. While Argentina needs to maintain relationships with multiple countries for economic stability, President Milei announced the intention to exclusively maintain ties with the United States and Israel. This decision raised questions about the pragmatism of his approach, as Argentina lacks the economic luxury to be selective in its alliances. Notably, his decision to sever ties with Russia, China, and Brazil could have significant economic repercussions, as these countries were crucial partners for Argentina in trade, energy, and development initiatives.

Furthermore, President Milei’s decision not to join BRICS (Brazil, Russia, India, China, South Africa) despite its potential benefits for Argentina suggests a narrow-minded approach to foreign policy. His recent salary increase of 48 per cent also raises doubts about his commitment to the revolutionary promises he made upon assuming office.

In conclusion, President Javier Milei’s early actions and policies do not inspire confidence. His apparent bias towards the United States and Israel, coupled with a disregard for important regional partnerships and economic realities, may hinder Argentina’s progress. Moving forward, President Milei must prioritize the interests of the Argentine people and adopt a more pragmatic and inclusive approach to governance and foreign relations.

_{(Aayush is a post-graduate student in International Relations at Kalinga University, Raipur. Views and opinions expressed are the author’s own)}