Argentine President Javier Milei achieved a significant midterm election victory, expanding his congressional control and paving the way for extensive economic reforms and spending cuts.
Argentine President Javier Milei secured a decisive victory in the midterm elections held on Sunday, significantly expanding his control over Congress. This win provides his administration with renewed momentum to implement deep spending cuts and extensive free-market reforms.
The results represent a notable boost for Milei’s libertarian movement and signal a dramatic shift for one of Latin America’s largest and most volatile economies. His party, La Libertad Avanza, garnered approximately 41.5% of the vote in Buenos Aires province, marking a historic upset in a region traditionally dominated by the Peronist opposition, which received 40.8%, according to figures reported by Reuters and The Associated Press.
Nationwide, La Libertad Avanza increased its representation in the lower house from 37 to 64 seats. This expansion positions Milei to more effectively defend his vetoes and executive decrees, which have been central to his economic agenda.
“The result is better than even the most optimistic Milei supporters were hoping for,” said Marcelo Garcia, Americas director at the risk-analysis firm Horizon Engage, in comments reported by Reuters. “With this result, Milei will be able to easily defend his decrees and vetoes in Congress.”
Political consultant Gustavo Cordoba also weighed in, suggesting that the election outcome reflects a cautious optimism among voters who seem willing to give Milei’s economic policies more time to take effect. “Many people were willing to give the government another chance,” Cordoba noted. “The triumph is unobjectionable, unquestionable.”
Inflation in Argentina has seen a significant decline, falling from 12.8% before Milei’s inauguration to just 2.1% last month. His administration has also reported a fiscal surplus and implemented broad deregulation measures, marking a stark reversal after years of economic instability.
According to The Associated Press, the U.S. government under former President Donald Trump offered Argentina a $40 billion aid package, which included a $20 billion currency swap and a proposed $20 billion debt-investment facility. This support was contingent upon Milei’s performance in the midterms.
Following the election results, President Trump congratulated Milei on Truth Social, stating, “Congratulations to President Javier Milei on his Landslide Victory in Argentina. He is doing a wonderful job! Our confidence in him was justified by the People of Argentina.”
Investors responded positively to the election results, with expectations that Argentine bonds and stocks will rally. Milei’s stronger position in Congress is anticipated to provide him with the political capital necessary to accelerate his reform agenda.
Milei characterized the election as “a turning point for Argentina,” according to AFP via the Times of Israel.
Source: Original article