Argentine President Javier Milei’s libertarian government scored a sweeping victory in Sunday’s midterm legislative elections, cementing public backing for his free-market reforms and deep austerity program.
The decisive win hands Milei a strong mandate to press ahead with his radical economic overhaul after months of painful but stabilizing measures.
Milei’s party, La Libertad Avanza (LLA), captured 41.5% of the vote in Buenos Aires province, long a bastion of Peronist strength, against 40.8% for the main opposition coalition, marking a dramatic political shift.
Nationwide, LLA won 64 seats in the Chamber of Deputies, up from 37, giving Milei control over one-third of the chamber, enough to block attempts to override presidential vetoes.
Half of the lower house’s 257 seats and one-third of the Senate’s 72 seats were contested. The Peronists remain the largest minority bloc, but Sunday’s results significantly enhance Milei’s legislative power and political stability.
Analysts said the stronger-than-expected showing reflected widespread voter determination to avoid a return to the economic crises of past administrations.
“Many people were willing to give the government another chance,” said Gustavo Córdoba, director of the polling firm Zuban Córdoba. “The triumph is unobjectionable, unquestionable.”
Marcelo García, Americas director of risk consultancy Horizon Engage, said the victory exceeded expectations. “With this result, Milei will be able to easily defend his decrees and vetoes in Congress,” García noted. “Allies will have more incentive to support a winning president.”
The win is also expected to reassure Washington and investors. U.S. President Donald Trump’s administration recently extended a $40 billion bailout package to Argentina — including a $20 billion currency swap already in place and a proposed $20 billion debt investment facility, contingent on continued reform progress.
The Milei government has drastically slowed inflation, from 12.8% before his inauguration to 2.1% last month, while achieving a fiscal surplus and pursuing sweeping deregulation.
Markets are expected to rally when they reopen Monday, with traders anticipating gains in Argentine bonds and equities.
Political observers expect Milei to announce a cabinet reshuffle in the coming days, potentially bringing in figures from the centrist PRO party of former President Mauricio Macri.
Economists, meanwhile, predict a possible devaluation of the peso, which they say has been kept artificially high to suppress prices.
As Milei celebrated the victory in Buenos Aires, his supporters hailed the results as proof that Argentines are ready to endure short-term hardship for long-term recovery, a gamble that, for now, appears to have paid off.
Source: Reuters
Written By Rodney Mbua
