Javier Milei, a right-wing libertarian, has emerged victorious in Argentina's presidential election, marking a significant shift in the country's political landscape. The election campaign was highly polarized, reflecting the country's divided political sentiments.
Milei, who won nearly 56% of the vote in the election's second round, has previously expressed his intention to retreat from ties with countries including Russia, China, and Brazil, citing disagreement with their governments' policies. He has also expressed support for Ukraine in its conflict with Russia and has said that he sees the United States and Israel as Argentina's main partners.
Milei's victory has had a noticeable impact on Argentina's economy. Overseas dollar bonds rallied more than 2 cents to just above 30 cents on the dollar. U.S.-listed shares of Argentine companies also rallied, with oil company YPF trading 18.4% higher and banks including Grupo Supervielle Banco Macro, Banco Bbva Argentina, and Grupo Financiero Galicia 8.6% to 11.4% higher.
Milei's radical reform agenda includes plans to drastically cut public spending, 'burn down' the central bank, and dollarize the economy. He has promised to slash government spending by closing Argentina's ministries of culture, education, and diversity, and by eliminating public subsidies. His political program includes slashing regulations on gun control, transferring authority over the penitentiary system from civilians to the military, and privatizing the health sector.
On social issues, Milei has staked out conservative positions. He opposes abortion and sex education, and denies that humans are responsible for climate change. These positions, along with his economic policies, are expected to thrust Argentina into new territory.
Despite his radical pledges, Milei struck a measured tone in his first public comments after the election, promising to respect democratic institutions and work for the benefit of all Argentinians.