The political crisis faced by the Javier Milei administration was largely self-generated, stemming from the announcement of a massive emergency decree and omnibus bill that bordered on unconstitutionality. Despite the bill making significant progress in Congress, it was eventually pulled after intense negotiations. The opposition, particularly the Juntos por el Cambio coalition, was instrumental in leading the legislative debates and negotiations, with some expressing emotions like tears following the bill’s removal.
President Milei reacted strongly to the bill’s withdrawal, taking to social media to label deputies who voted against it as “traitors” and celebrating the opposition’s victory. His rise to power was largely fueled by a digital ecosystem, where his aggressive and ideologized discussions on news shows gained traction on social media. Milei’s popularity also extended globally, with his speech at Davos becoming the most watched at the World Economic Forum.
The president’s aggressive retweets aimed at opposing deputies highlight his strong digital following, which includes libertarians and other groups forming the “New Right” in Argentina. While Milei’s synthetic power continues to garner support from a substantial portion of the population, his administration’s economic policies remain focused on achieving a budget surplus despite high inflation rates. The collapse of the reform bill does not change the government’s policy path, according to Economy Minister Luis ‘Toto’ Caputo.
The future of the Milei administration remains uncertain as it navigates challenges with the opposition and economic instability. Will Milei be able to contain social flare-ups using synthetic power, and will he adapt to work within Argentina’s democratic institutions? The decision to withdraw the bill after extensive negotiations raises questions about its significance in the first place. The administration’s ability to achieve its economic policy objectives without the bill remains to be seen, as the country faces ongoing challenges.
