Argentine President Javier Milei has highlighted his administration's achievement of a financial surplus worth AR$276.638 billion (US$276.638 million), calling it a 'historical feat' [6be31783]. Milei's policies, which he describes as 'chainsaw' policies, have contributed to three consecutive surplus-yielding months and a surplus after interest of approximately 0.2% of GDP in the first quarter of 2024. The primary surplus in the same period was close to 0.6% of GDP [6be31783].
Milei emphasizes that fiscal order is one of the pillars of his economic program. He also announces that Argentina's monthly retail inflation is around 5% and that the cost of the adjustment is not passed on to the entire population, but only to those who benefited from the impoverishing model of the past. Milei believes that the way out of the economic situation is through the private sector and credit financed by savings [6be31783].
Milei's announcement comes ahead of a planned nationwide demonstration by college students and professors opposing budgetary cuts to tuition-free national universities [6be31783].
Argentina's achievement of a financial surplus is seen as a positive sign for the country's economy, which has been grappling with financial challenges for over a decade. The surplus reflects the government's efforts to improve tax revenues and reduce capital expenditures. It also highlights the success of President Milei's policies in achieving fiscal order. However, the impact of these policies on inflation and the distribution of costs remains a topic of discussion [6be31783] [4b8877fb].