- Javier Milei, one of Argentina’s leading presidential candidates and a strong Bitcoin advocate, has proposed a tough economic plan to solve the country’s economic problems.
- Milei’s plan includes measures such as reducing public works, reducing the number of ministries, removing subsidies and capital restrictions, and reducing gross domestic product by at least 13% by mid-2025.
- Milei’s supporters are optimistic about the upcoming elections. Celebrations were held at the election center in the center of Buenos Aires after the primary elections held in July.
Argentina’s Bitcoin-supporting presidential candidate pledges to close the central bank and makes a strong proposal for the economy.
Argentina’s Presidential Candidate Draws Attention
Javier Milei, one of Argentina’s leading presidential candidates and a strong Bitcoin advocate, has proposed a tough economic plan to solve the country’s economic problems. According to a report by Bloomberg, the radical libertarian Milei pledged to close the country’s central bank if elected, dramatically reduce spending, and dollarize the $640 billion economy.
Milei’s plan includes measures such as reducing public works, reducing the number of ministries, removing subsidies and capital restrictions, and reducing gross domestic product by at least 13% by mid-2025. His proposal effectively dollarizes the economy by allowing businesses to transact in US dollars. One of his more radical steps is the proposal to close the central bank because, according to him, there is “no reason for it to exist.”
The initial reactions to Milei’s victory news saw traders selling stocks and dollar bonds, creating uncertainty in asset pricing. However, prices quickly stabilized, and the local stock market rose more than 3%.
According to reports, Milei and other candidate Bullrich advocate for a disruptive economic solution for the country, which is struggling with 116% inflation, higher interest rates, negative net foreign reserves, and the complexity of capital controls implemented to protect the declining peso.
Challenging the Status Quo
Milei’s positions have been described as radical and unconventional. The 52-year-old politician is a fan of former US President Donald Trump and has made controversial statements. According to reports, these statements include claims that climate change is a lie, describing sex education as a game to destroy families, and supporting easier gun ownership.
Milei’s supporters are optimistic about the upcoming elections. Celebrations were held at the election center in the center of Buenos Aires after the primary elections held in July. It is expected that the candidate’s support will increase as the October election approaches.
In the primary elections, Milei won nearly 32% of the votes, while the closely-following conservative Change for Unity party received just under 30% and the patriotic Unity coalition, which is the current government’s group, received slightly above 28.5% of the votes.
Milei’s proposed economic plan represents a separate approach from the traditional policies followed by Argentine politicians and has the potential to bring about significant changes in the country’s economy. According to experts, the election of the anti-central bank libertarian Milei could have long-term effects on the domestic and international economic landscape.
