Argentina's President Javier Milei reappeared this weekend in his most combative style, challenging economic reality and his critics with TV show clips as evidence that consumption is recovering. "The monumental stupidity of 'people can't make ends meet' is falling apart," the president wrote on his X account, accompanying a fragment of La Noche de Mirtha where guests highlighted the high turnout at Buenos Aires theaters and restaurants.
Hours later, Milei doubled down with a video of the food court at the Abasto shopping mall packed with people. "Consumption is on the floor... And suddenly, those who don't see reality or walk the streets find these images... surely they're AI... CIAO!" he joked sarcastically.
A Speech That Raises Alarms in the Establishment
The origin of this new presidential offensive dates back to last Thursday, during his speech at the 23rd Council of the Americas edition at the Alvear Hotel, where Milei denied the fall in consumption and the crisis of those who can't make ends meet, and again insulted journalists, economists, and even businessman Paolo Rocca, CEO of Techint. The presentation was so erratic that several businessmen preferred the hotel bar over listening to him, according to La Política Online.
There, the president of the Argentine Chamber of Commerce (CAC), Mario Grinman, made attendees uncomfortable with a direct question: "Which side are you going to be on?" Grinman acknowledged the closure of companies and the loss of jobs, but defended the economic program: "If we now need to have a little patience and accept collateral damage to transform ourselves into a normal country, it's worth it. If it doesn't work and we return to the past, it will be an apocalypse."
The Numbers Dividing the 'Círculo Rojo'
The split in the establishment was exposed. Gustavo Weiss, president of the Argentine Chamber of Construction (Camarco), was blunt: "The business community agrees that the macro has to be in order. That said, when we talk about the micro, I have certain differences with the Government. We lost 120,000 jobs and activity fell 25%." He warned: "People vote with their wallets."
| Indicator | Data |
|---|---|
| Wholesale inflation (July) | 0.8% |
| Economic activity (June) | +0.8% month-on-month, +2.7% year-on-year |
| BCRA gross reserves | USD 50.655 billion (7-year high) |
| Country risk | 506 basis points |
| Official dollar | ARS 1,515 (BNA selling rate) |
| Trade surplus (July) | USD 2.115 billion |
| Household delinquency | 12.7% (6 million people) |
| Milei approval | 37% (Bloomberg/AtlasIntel poll) |
La Nación columnist Joaquín Morales Solá analyzed the phenomenon in his Sunday column: "Milei decided to rebel against reality," and noted that "if people's perception of the economy doesn't change, Milei could be five points lower, at 32%, within a year," making a first-round victory in 2027 almost impossible.
Key Week in Congress
While the President focuses on the cultural battle, the Government prepares for a decisive Wednesday in the Chamber of Deputies, where two strategic projects will be debated: the reform of the Central Bank's Organic Charter and Fiscal Innocence 2 (a tax amnesty program). The presidential agenda includes a Cabinet meeting on Monday, a meeting with legislators on Tuesday, and a speech on Ethics and Artificial Intelligence at ORT College on Thursday.
In parallel, the ruling party faces a complex scenario: tax changes would have a fiscal cost equivalent to 4.7% of GDP by 2027, according to a report by economist Nadin Argañaraz. And external debt remains the Achilles' heel: with maturities of USD 30 billion before 2027 and no access to the voluntary market, pressure on reserves is constant.
The Opposition Also Moves
On the other side, Peronism is rehearsing a unity that surprised even its own: Axel Kicillof, Sergio Massa, and Máximo Kirchner met and hinted at a possible internal competition with primaries (PASO) in 2027. Vice President Victoria Villarruel, meanwhile, commemorated the Jujuy Exodus with her own message, marking distance from the Casa Rosada.
And in the PRO party, Patricia Bullrich retains leadership in positive image according to polls, while Mauricio Macri pushes for a social agenda before sealing an electoral alliance with La Libertad Avanza. The PRO-LLA political meeting scheduled for Thursday will be a new test for the ruling coalition.
With information from Clarín, La Nación, La Prensa, Ámbito, and La Política Online.