Javier Milei details economic reforms and diplomatic ties

Argentine President Javier Milei has addressed his administration's economic strategies and geopolitical positioning. In an interview with France's LCI, Milei expressed gratitude toward President Emmanuel Macron, noting that France played a significant role in supporting Argentina's negotiations with the International Monetary Fund regarding the removal of currency controls.

Milei detailed his government's efforts to reduce the state, including cutting the number of ministries from 18 to 8 and reducing public spending by 30% in real terms. He also reported the dismissal of approximately 80,000 public employees to combat hyperinflation and close the Central Bank's financial deficit. Additionally, he confirmed ongoing negotiations with France regarding submarine technology.

Domestically, the administration faces scrutiny over poverty data and the impact of budget cuts. Economists continue to debate the future of the exchange rate, noting that as long as currency restrictions (cepo) remain in place, it is difficult to determine the true market value of the dollar. While the government aims to stimulate sectors like construction and industry to combat poverty structurally, the current economic landscape remains a significant challenge.