On 19 November 2023, Javier Milei, the self-proclaimed 'anarcho-capitalist' and founder of the La Libertad Avanza party (LLA), won the presidential runoff with a campaign promising to radically reduce the Argentine state debt and reverse the country's persistent structural economic problems. Following his assumption of the presidency on 10 December 2023, Milei has implemented the most ambitious austerity and deregulation programme Argentina has seen this century. At the end of the first half of his term there have been impressive successes on the macroeconomic side (reducing inflation, consolidating the state budget and economic recovery). However, the measures have also had severe social implications. Almost two years after Milei's election victory, the midterm legislative elections taking place on 26 October 2025 are an important litmus test on the acceptance of his radical reform programme and his possible re-election in 2027. The question is whether Milei's LLA party can increase its seats in the bicameral Congress, where it will have to negotiate with the opposition on the implementation of further structural reforms. From the EU perspective, Argentina is particularly important as it is one of the four founding members of the Southern Common Market (Mercosur) with which the EU is aiming to conclude the EU-Mercosur Partnership Agreement (EMPA). Moreover, Argentina holds vast reserves of critical raw materials which are key for the clean transition of the EU economy and for the EU's strategic autonomy. Source : © European Union, 2025 - EP Read more