The English newspaper The Telegraph He pointed out, this Saturday (19), that “Javier Milei’s bet on the free market is worth it” and that the time has come for the world to realize the “Argentine economic miracle”. The text, which highlights the economic achievements of the 18 -month government Milei, was shared by the libertarian in his X profile. “Phenomenon of the neighborhood. The caste cries for that,” he wrote.
Signed by economic journalist Matthew Lynn, the text points out that since Javier Milei took power in Argentina, the Moody’s credit rating agency has raised the country’s grade twice. The improvement of perspectives, justifies the agency, is due to the “extensive liberalization of the exchange rate and (to a lesser extent) to capital controls”.
“Growth has accelerated, inflation is under control, rents are falling and debts are becoming increasingly manageable,” Lynn enumerates, stressing that “the dark warnings of economic stablishment” that Milei’s “bold experiment” in dramatically reducing the weight of the failing state were “seriously wrong.”
Although technically the country’s classification at Moody’s is still “garbage” – the result of nine debt defaults, including the largest in the history of the International Monetary Fund (IMF), in the last 200 years – the agency points out that Milei’s economic direction is “clearly correct”.
Among the Argentine economic indicators that showed significant improvement after the “shock therapy” promoted by Milei, the Telegraph highlights Fall in monthly inflation to 1.6% in the last month (value much lower than the more than 200% registered when the libertarian assumed), the 40% drop in rent prices in the last year (after the government removed all rent controls, which brought many properties to the market) and growth perspective of 5.7% this year (even with the great cuts in public spending).
In addition, Argentina’s debts are becoming easier to manage, and the government can already borrow money again in global markets.
The country’s challenges, Lynn highlights, are still linked to poverty and the low volume of new industries, although the shale oil and gas sector is beginning to take off, with prospects to double the production of Companhia Vista Energy in the next 24 months.
However, the journalist reinforces that “in the 18 months since Milei took office, Argentina’s economy has been transformed.” The secretary’s secret, analyzes Lynn, was the radical reduction in the size of the state, with the resignation of more than 50,000 public workers, the closure or merger of more than 100 state departments or agencies, the freezing of public infrastructure projects and the cut in energy and transportation subsidies.
Contrary to nations that have been betting on state -owned power, regulation, and funding (the author cites the United Kingdom, the European Union, China and even the US, with Trump tariffs as examples), Milei was “farther and faster in the deregulation of the economy than any politician in modern times.”
“Perhaps because subsidies, controls and protectionism turned the country into a lost case, he was ready to try the alternative,” the journalist ponders. “The results are now clear. In fact, open and free markets and a smaller state are the only way to restore growth, and Milei is proving it again,” he argues.
