Argentina: Poverty Rate Above 50% in First 6 Months Under Milei
The Facts
Argentina's poverty rate has increased from 41.7% in the second half of 2023 to 52.9% — reportedly highest since the 2001 financial crisis — in the first half of 2024.
Some 15.7M Argentinians — nearly one in five — are now poor, according to the figures published on Thursday by the country’s INDEC statistics agency.
The Spin
In the wake of Javier Milei's radical reforms, Argentina's economic woes have only intensified. The self-proclaimed anti-establishment president's drastic measures, aimed at slashing welfare and provincial funding, have exacerbated the country's already dire financial situation. His confrontational approach and polarizing rhetoric have hampered his ability to implement meaningful change. Ultimately, Argentinians are left grappling with an increasingly bleak economic landscape.
In his first year, Pres. Milei has tackled Argentina’s economic woes head-on, implementing controversial “shock therapy” reforms aimed at slashing government spending and reducing inflation. Despite skepticism and dire predictions, Argentina's economy showed surprising growth, with a 2.3% year-over-year increase in GDP and a cooling inflation rate. While critics feared deep recession and economic pain, early indicators suggest Milei’s aggressive cuts might be yielding results.