Javier Milei, the recently elected president of Argentina, is putting forth extensive reforms that will require 35 years to carry out. According to “La Nacion,” these include reducing government expenditure, dismantling the central bank, and privatizing the railroads, airlines, and oil firms.
Many people started to ponder what Javier Milei’s political platform and proposals would entail following his victory in the 2023 elections. The “La Libertad Avanza” party duly submitted the document containing the primary ideological tenets to the Electoral Chamber in order for the liberal economist’s presidential candidature to be approved.
In his frequent interviews and public addresses, he passionately champions liberalism as an ideology rooted in boundless reverence for individual lives, underpinned by the core tenets of non-aggression and the preservation of fundamental rights encompassing life, freedom, and personal property. Integral to this philosophy are unregulated markets, free from government intervention, fostering unrestrained competition, the division of labor, and collaborative social engagement as pivotal pillars of its framework.
Following a detailed examination of the existing state of affairs, “La Libertad Avanza” suggests a comprehensive reform “in three successive stages” that will require 35 years to fully execute.
The initial phase of the plan prioritizes substantial reductions in government spending alongside comprehensive tax reforms aimed at fostering lower tax rates. Emphasizing labor flexibility to bolster private-sector employment and advocating unilateral openings to global trade constitute the core pillars of this strategy. Simultaneously, an integral aspect involves financial restructuring fostering the establishment of autonomous and unregulated banking systems, coupled with the promotion of open competition within the foreign exchange sector. These reforms align seamlessly with the broader trajectory of tax reduction and liberalization, forming a cohesive framework for economic revitalization.
Regarding potential events soon after Javier Milei’s administration assumes office, the document makes certain economic policy points clear.
Initially, the strategy encompasses “streamlining staff and optimizing resources” alongside “eradicating inefficient government expenditures.” Miley has committed, in the event of his election, to slash government spending by 15% of the GDP. His outlined initiatives aim to aid the government in downsizing the surplus count of civil servants by proposing options like early retirement, voluntary retirement, and revising labor and service contracts for underperforming personnel
“The emphasis on ‘privatizing financially unviable state-owned enterprises’ takes center stage in economic reform discussions. Among the key entities in focus for restructuring or potential privatization under Javier Milei’s proposed reforms are Conicet (National Council for Scientific and Technical Research), Incaa (National Institute of Cinema and Audiovisual Arts), Ferrocarriles Argentinos (Argentine Railways), Aerolíneas Argentinas (Argentine Airlines), and YPF (Yacimientos Petrolíferos Fiscales – translating to ‘public oil fields’). These government bodies have been earmarked for potential elimination, closure, or privatization in Milei’s electoral promises.
A system of concessions and even privatizations is to be used to “provide special treatment to the maritime and even river sectors,” according to paragraph 14 of the official document’s section on agriculture and fisheries.
Within the sphere of ‘Security,’ a progressive idea surfaces: envisioning correctional institutions (such as police precincts and prisons) through an innovative lens, fostering a collaborative framework between public and private management systems. This innovative proposition also paves the way for amalgamating the country’s defense, homeland security, and intelligence structures into a cohesive unit known as the National Security System. Furthermore, it examines the feasibility of lowering the existing age of criminal responsibility from sixteen, with a focus on reshaping the legal framework around accountability.”
