After One Year, Argentina's Milei Achieves Fiscal Surplus, Cuts Inflation to 2.7%, Approval Rating at 66%

Dec 10, 2024, 10:18 AM

One year into his presidency, Argentine President Javier Milei has implemented significant economic reforms that have stabilized the country's economy and avoided hyperinflation. His administration has reduced monthly inflation from 25% to 2.7%, the lowest in three years, bringing the inflation rate to single digits. Argentina achieved a fiscal surplus for the first time in 15 years, with government spending drastically cut, including the elimination of over 30,000 government jobs and the reduction of ministries from 18 to 8. The country's risk rating dropped from 1,930 points to 736 points, reflecting increased investor confidence. Argentina has climbed 61 places in the Index of Economic Freedom and is now considered the third most prosperous country in South America. While GDP per capita is projected to grow 50% in ten years if current policies continue, half of the population remains below the poverty line, though poverty has decreased to 44.6% in October. Despite the austerity measures and social challenges, Milei's approval ratings remain high, reaching 66%, making him the second world leader with the highest approval rating. Known for his 'chainsaw' approach to cutting government waste, Milei continues to implement market-friendly policies to further economic recovery.