Argentina is preparing for additional austerity demonstrations set to commence on Wednesday, featuring a planned 24-hour nationwide strike beginning at midnight targeting President Javier Milei. Despite this opposition, he continues to concentrate his efforts on negotiations in Washington concerning a new International Monetary Fund (IMF) loan.
The labor action scheduled for Thursday will mark the third general strike during libertarian economist Javier Milei’s 16-month presidency, which has been marked by severe spending cuts. This strike, called by the unions, aims to protest against his stringent “chainsaw” austerity measures.
During his presidential campaign, Milei notably brandished an actual chainsaw as a symbol of the reductions he intended to implement in government administration and public expenditure.
At his workplace, he reduced financial support for transportation, fuel, and energy, dismissed tens of thousands of state employees, and closed down multiple governmental divisions.
These policies have brought down inflation rates and led to Argentina’s first budget surplus in over ten years; however, they have also pushed the nation into a recession and plunged millions more citizens into poverty during the initial months under President Milei’s administration—though official statistics indicate an improvement in these figures since then.
“The impact on vulnerable groups from austerity measures far exceeds what is indicated by the monthly inflation rate,” stated Hector Daer, secretary-general of the CGT trade union federation, prior to the strike.
The objective is to halt trains and planes, as well as close down schools and banks.
Argentina boasts one of the globe’s highest yearly inflation rates; however, Milei’s strategies are acknowledged for reducing it from 211 percent in 2023 to 66 percent.
Unions argue that the favorable economic statistics mask the typical Argentinian’s diminished ability to buy goods and services.
Before Thursday’s strike, Buenos Aires will see a weekly demonstration by pensioners – one of the sectors most affected by Milei’s reductions – scheduled for Wednesday. This rally is supported by labor unions and various social organizations.
On March 12, forty-five individuals sustained injuries during a comparable protest that escalated into violence after being joined by soccer supporters.
Argentina has requested a $20 billion loan from the International Monetary Fund, increasing its total debt with the organization to $64 billion.
Milei states that the funds will enable his administration to settle its obligations with the central bank and assist in “eradicating” inflation — a crucial objective as the midterm legislative campaign gets underway, with his party aiming to boost its presence in Congress.
On Tuesday, the IMF stated that they had come to an initial lending arrangement with Argentina, but this deal needs approval from their executive board before moving forward.
The final decision may be reached “within the next few days,” as stated by the lending institution.
