In Argentina, another protest took place near the building of the National Congress. The protesters clashed with law enforcement officers, threw stones at them, and set fire to garbage cans. In response, the police used water cannons, tear gas and rubber bullets. According to local media, 15 people were injured as a result of the recent unrest.
Buenos Aires authorities have threatened to prosecute the demonstrators. The corresponding order was given by the mayor of the Argentine capital, Jorge Macri, who called the protesters “criminals.”
“They (the demonstrators. -
RT
) are criminals. I have instructed the Ministry of Security, the Minister of Justice and the Prosecutor of Buenos Aires to initiate criminal proceedings against all individuals and organizations that took part in the aggression and destruction of property in the city. In addition, we will demand compensation for the damage caused to the pockets of all taxpayers in Buenos Aires,” Macri wrote on the social network X.
At the moment, the new President of Argentina, Javier Miley, has not commented on the protests. According to the local newspaper La Nation, the head of state’s immediate plans are to celebrate his wife’s birthday and go on his first foreign tour, during which he is to visit Jerusalem and Rome.
According to the Spanish-language portal RT, the protesters chanted: “The Motherland is not for sale!” The reason for the mass protests was a high-profile package of 300 reforms initiated by the libertarian Miley. To pass a bill called “Foundations and starting points for the freedom of Argentines,” the head of state must obtain the approval of the lower house of Congress and the Senate.
144 deputies voted in support of the bill, 109 were against it. However, parliamentarians of the lower house have not yet completed their work. In particular, consideration of individual articles of the document is planned for February 6.
Nevertheless, the presidential office perceived the results of the vote as a victory, publishing a message in which it thanked the legislators who sided with Miley, despite ideological differences.
“The Office of the President welcomes the positive vote of the deputies, who generally approved the bill “Foundations and starting points for the freedom of Argentines”, and expresses special gratitude for the cooperation of the deputies and the heads of the relevant blocs - Christian Ritondo, Miguel Angel Pichetto and Rodrigo de Loredo, who, despite our differences contributed to the advancement of the bill,” the office said.
Let us recall that the “Foundations and starting points for the freedom of Argentines” provide for radical measures to liberalize the country’s economy. We are talking about the privatization of state-owned enterprises, a tax amnesty, the abolition of export restrictions, the abandonment of price controls and government non-interference in the wine sector, tourism, the rental housing market and a number of other sectors.
The package of reforms also involves a serious tightening of the legislation on protests, a significant reduction in budget expenditures, the legalization of a 12-hour working day, a reduction in maternity leave and other measures that reduce the social obligations of the state.
At the same time, the “Foundations and starting points for the freedom of Argentines” did not include Miley’s election promises to abolish the central bank, reduce the number of ministries and abandon the peso in favor of the US dollar. However, as the president notes, this package of reforms is the first step towards modernizing the economy and public administration system of Argentina.
Note that during the debate, the government withdrew about half of the articles. However, they mainly concerned economic reforms and punishment of organizers and participants of rallies.
Protests in Buenos Aires
The fate of Miley's high-profile bill will be finally decided by the Senate, which will begin considering it on February 15. In the upper house, Libertarians hold only seven of the 72 seats. According to La Nation, the president will have to redouble his efforts to gain the favor of a majority of senators.
RT discussed with experts the tasks that Miley sets himself, intending to achieve the adoption of the law, as well as the possible consequences of mass protests against the reforms.
— What is the strategic meaning of Miley’s very liberal reforms and why did they cause such resistance in Argentine society?
Director of the Center for Ibero-American Programs of the Moscow State Linguistic University, former Ambassador Extraordinary and Plenipotentiary of the Russian Federation to Argentina Ian Burlyai:
— Miley’s reforms fit into the libertarian ideology and “recipes” that are imposed on all developing countries by the IMF, the World Bank and other international financial organizations, which are to one degree or another controlled by the United States.
In short, the “recipes” boil down to the fact that prices should be allowed to float freely, the state should cut budget expenditures, reduce trade barriers and carry out large-scale privatization. Moreover, direct and indirect taxes, which are “hidden” in the prices of goods, always increase.
In practice, such measures help reduce the state budget deficit and increase the state’s ability to repay loans. Argentina, let me remind you, is a major debtor to the IMF and in recent years has actually been teetering on the brink of default.
However, such measures are unlikely to be popular among the population, including workers. Miley’s liberal reforms will definitely lead to another jump in prices for consumer goods and a decrease in citizens’ incomes. Actually, this was the reason for the performances.
Argentina is experiencing approximately the same thing that happened in Russia in the 1990s. The country is deprived of other sources of supporting the economy, except for external loans. Miley's logic is that he seeks to prevent bankruptcy. Otherwise, no one will lend to Argentina anymore.
However, in my opinion, Miley is making a mistake by closing off the possibility of developing closer relations with Russia, China and the BRICS countries, which could become investors in the Argentine economy and open markets for more Argentine goods.
Expert on Latin America, adviser to the president of the Russian Social and Political Center Dmitry Burykh:
— The liberalization announced by Miley will be expressed in the massive impoverishment of the population. It will be the hardest for state employees, including pensioners, and agricultural producers, who will lose the previous volumes of benefits and subsidies from the state.
Police clashes with protesters
Gettyimages.ru
Many households and businesses in Argentina will have to rely solely on their own resources. In such a situation, everyone will strive to cut costs, there will be job cuts, and disabled people will suffer greatly.
At the same time, such “shock therapy” has a certain meaning. This is the improvement of the economy, the release of budget funds to pay off debts to the IMF, and the attraction of foreign investment. At the same time, “Foundations and starting points for the freedom of Argentines” is not a complete list of reforms that Miley plans to implement.
I do not rule out that the new leader of Argentina will indeed completely replace the peso with the dollar, as he promised before his election. This step is capable of stabilizing the financial system, but is fraught with a partial loss of sovereignty.
Expert of the International Institute for Humanitarian and Political Studies Vladimir Bruter:
— Miley expects a much more active economy and the maximum possible “freeing up” of budgets. This logic can be understood. But there is no certainty that the liberal course of the new president will bring results, including in the long term.
Argentine President Javier Miley
© Guido Piotrkowski/picture alliance via Getty Images
The question is the price that people will have to pay. In Argentina, half the population is considered poor, and Miley's reforms will make their lives even worse. After the budget cuts sought by the new president, low-income families will be able to count on minimal government support. At the same time, the prosperous sections of society will become richer, having received more opportunities for business development and the exploitation of human resources. Argentines face difficult trials, and not everyone has come to terms with this idea.
— Could protests in Argentina lead to serious political upheavals in the country and how will they affect Miley’s position?
Director of the Center for Ibero-American Programs of the Moscow State Linguistic University, former Ambassador Extraordinary and Plenipotentiary of the Russian Federation to Argentina Ian Burlyai:
“It is likely that due to reforms that are painful for Argentines, protests will only expand and become radicalized. Argentina has strong trade unions, which are also under the control of the Peronists, Miley’s ideological opponents.
In such a negative scenario, the president is unlikely to be able to implement other high-profile campaign promises. Ultimately, the situation may become so tense that Miley will even have to resign as president early.
We should not forget that in Argentina the armed forces have always played a special political role. In a critical situation, they can take neutrality, side with Miley, or, conversely, suppress protests - this has already happened in the history of Argentina.
Expert on Latin America, adviser to the president of the Russian Social and Political Center Dmitry Burykh:
— From my point of view, the scale of the protests will depend on how actively the Milei government will implement its plans. The larger the population affected by his reforms, the wider the scope of the protests will be.
So far the situation does not look threatening for Miley. He recently took office and enjoys a certain amount of trust, especially among young people, who, one might say, ensured his victory in the second round. However, the situation for the new president could deteriorate sharply if the opposition in Congress puts up more serious resistance to him.
Garbage bins set on fire in Buenos Aires
Gettyimages.ru
Expert of the International Institute for Humanitarian and Political Studies Vladimir Bruter:
— It seems to me that Miley wants to force the Argentines to jump over the “gap” that appeared back in the 1990s. But a strong economy cannot be created with such emergency measures. Society itself is clearly not ready for the mobilization that Miley wants. Yes, people voted for Miley, but at the same time they did not agree to endure the costs of the liberal course.
Discontent will grow as Miley's reforms are implemented. Therefore, now we are only witnessing the emergence of a mass protest movement. Most likely, under pressure from protesters and falling ratings, Miley will abandon his policy - or become a typical “lame duck.”