Argentina's Deputy Economy Minister Says Many Still Not Feeling Benefits of New Program

Deputy Economy Minister José Luis Daza told TV Pública that, although the government claims the economy has reached a “robust equilibrium,” a large share of Argentines have not yet perceived any improvement in their daily lives. He said the current economic program is entering a consolidation phase – “the pieces are starting to gel” – but the macro‑stability has not fully translated into household income.

Daza rejected any “plan platita” or populist spending ahead of the 2027 presidential election, emphasizing that future growth will rely on private investment and expanded credit rather than higher public expenditure. He warned that credit remains costly, with bank rates between 60% and 70%, and that a heavy tax burden makes financing unaffordable for many families and firms. Nevertheless, short‑term loans to companies rose 1.9% month‑on‑month, which the ministry sees as a sign of tentative recovery.

The ministry is also negotiating a new $1.1 billion financing line with the Development Bank of Latin America and the Caribbean (CAF) and other multilateral institutions, aiming to restore Argentina’s investment‑grade rating and save roughly $2 billion a year in sovereign debt interest. Daza outlined a goal of entering the 2027 elections with fiscal and external surpluses, higher reserves, and a stronger banking system.