How Javier Milei is turning Argentina's economy around | Ian Bremmer | Quick Take

We've had a first budget surplus that Argentina has enjoyed in over a decade. And monthly inflation, which has been significant highs and impossible for the people, is actually slowing down. After several administrations in Argentina doing their damnedest to destroy the economy, Milei is turning the place around. And by the way, this was not what I expected when the elections were happening.

Check in the comments to watch Ian's initial prediction on Milei's approach to saving Argentina's economy.

Ian Bremmer's Quick Take: A Quick Take to kick off your week. And today, I want to take us to Argentina, where newly elected President Javier Milei deserves a round of applause, at least for where we see the country so far in his administration.

We've had a first budget surplus that Argentina has enjoyed in over a decade. And monthly inflation, which has been significant highs and impossible for the people, is actually slowing down. Now, that's a really big deal. After several administrations in Argentina doing their damnedest to destroy the economy, Milei is turning the place around. He's succeeding. And by the way, this was not what I expected when the elections were happening. When he was first elected, I wrote, “expect more economic collapse imminently. ” And clearly that didn't happen. And that's a great thing. for the Argentinean people. I'm happy to be wrong about this. And by the way, I'll be very happy if I could be wrong about Ukraine getting partition, that seems like a tougher one. But nonetheless, what happened and why has he been more successful than I expected? It's worth thinking about.

Well, first of all, what the challenges were. Milei’s party has a thin minority in Congress, so he's had to use presidential decrees to push most of his ambitious economic reforms. He's the weakest president in institutional terms that Argentina has had in modern times. So he's swimming against a really strong current. And the Peronists who control a lot of power in Congress and among mayors and governors and the trade unions. I mean, these are people that would love to see Milei fail. So, first of all, my expectation was that no matter how smart well-thought through his economic policies were likely to be, the desire of the kleptocracy that's been in place for such a long time in having this guy fail and come back to power themselves, would be so strong that he wouldn't have any chance to get anything through.

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[BlazeGuitarLessons]

I spent four weeks in Argentina in February and March. Literally everyone I talked to loved him except government workers lol

[Lauren-]

Let's not forget the Masterclass he gave in Davos, precise statistics, historical data, and a final message to the Businessmen and women present in the auditorium encouraging them to continue succeeding in their endeavors, he called them social benefactors and the true protagonists of our society. Viva la Libertad Carajo! Long Live Freedom!

[peterp]

Milei is a legend, he is the man to do the crossed he turns Argentina around!

[realgone]

Rarely to see a public figure willing to admit they are wrong

[HappyJames]

Good to see someone’s ego isn’t big enough to stop him from admitting that they’re wrong

[wmrobjq]

Finally, someone is looking at this economic and political experiment with the proper attention that it deserves. Milei is no Trump nor a Bolsonaro, he is an economist who understands economic theory and is smart enough to have a plan and to know how to go about getting a broken economy back on its feet and flourish. It is indeed an experiment that if successful will make Milton Friedman a hero once again and become an economic model that other countries may well want to learn from.

[Freddie]

Monthly inflation in Argentina was 25% in December and now it's just over 10% and expected to drop into single digits in April. This is a direct result of the 'economic shock therapy' Melia has delivered.

[josephwallis]

Milei is economic professor first class, he was God Given to Argentina, his immediate take down of government size by decisively cutting down government jobs is golden class wisdom. Argentina has a lot to thank him, he is not dictator at this stage. He is worth 6 legions of army

[YunDay_]

3:00 They didn't give him any rope. In fact Massa, the last Minister of Economy, decided to advance all debt collections to 3 days after Milei ascension so that when my Milei comes in, Argentina would fly through the air and the entire country would break up.

[nitinpatel]

He is successful because he isn't afraid of his personal interest he is keeping interest of country first this austerity measures will cost him shirt term politically but he will become legend in Argentinian history

[alejandroberman]

every time I hear someone say "you know what? I was wrong", i start to appreciate and admire that person

[luizsampaio]

Congratulations for your honesty. Thank you for changing your mind about Millei's government. Keep looking.

[eyeofthetiger]

Great analysis and take Ian! God bless Javier Milei efforts and Argentina future

[bircruz]

Too soon to tell. I hope the best for Argentina.

[javibaldrich]

A lot of respect is due for the integrity of changing your mind and discussing it publicly! We need more of this!

[jon]

Incredible what Miele has achieved with a mimority government

[griffingasink]

The fall of living standards was always going to happen with an overly inflated currency which is why previous governments avoiding doing it. I do think Milei is actually what was needed despite it being temporarily painful

[fattywombat]

The problem with Argentina is a always a political one. Argentina is not exactly a poor country, but a very unstable economically. They’re not as rich as other white countries like Canada or Australia, but not exactly poor. Surprisingly quite developed too

[kurtnunn]

I tend to whence when hear someone espouse libertarian ideals. I think they’re too rash, and too simplistic. That being said, I see this is a grand experiment for Argentina, and for the world. I’m rooting for them and I’m hoping they can turn it around under his leadership.

[claudejgagnon]

I agree with Ian. At first, I thought that Milei was a simple minded character. He proved me wrong and it's good to see a country get back on its feet. Felicidades Argentina.