When Javier Miley was elected president of Argentina in 2023, many believed the country was headed toward disaster. A libertarian economist and television personality who claimed to receive telepathic advice from five cloned English mastiffs, Miley also described himself as an “anarcho-capitalist” and “tantric sex guru.” He also called for the legalization of organ sales, unrestricted ownership of firearms, and the dismantling of the central bank.
Despite this, “El Loco” – the madman, as his countrymen called him – achieved the unthinkable: Argentina was able to eliminate its fiscal deficit for the first time in 123 years.
In December 2024, Argentina emerged from the severe recession it entered in late 2023. Annual inflation also fell from about 300% last April to nearly 100% (or about 2.5% per month).
“The Maili government has achieved what many consider a miracle in terms of lowering inflation and stabilizing the economy and the price of the US dollar, two long-term Argentine shocks,” says Juan Pablo Ferrero of the Department of Politics, Languages and International Studies at the University of Maili. University of Bath. “These are remarkable achievements on which Miley is now building his political success.”
Ferrero notes that Miley’s actions have also made Argentina expensive. Local labour-intensive industries are facing difficulties.
Is this development model sustainable without a strong and dynamic industrial sector? “So far, Miley’s approach appears to be largely based on agricultural exports, mining, and the sale of gas and oil,” Ferrero says. Risks include a restructuring of the economy, with the middle class paying the price.
However, Ferrero admits that, contrary to many expectations, Miley’s leadership style has proven effective: “According to opinion polls, he remains a very popular president, despite implementing one of the most extreme austerity programs ever.”
The numbers show that the economic recovery has not translated into better living conditions for many, as the country’s poverty rate jumped to 53% in the first half of 2024, an increase of 11 points. Experts warn that Miley’s appeal is not enough. He will soon need to achieve broad and substantive growth that improves the living conditions of Argentines if he is to succeed in the 2025 midterm elections.
