“Legislators must vote according to their convictions not to get something in return”Thus, their relatives explain the thought of Milei. In the opposition, this is read as the current administration “He is not willing to negotiate anything.”
And, the governors were able to perceive that Milei is not willing to give in. For this reason, it is strikingly, the 24 provinces agreed on two projects, one for automatic transfers by advances of the National Treasury (ATN) and another to co -participate the fuel tax.
Political analysts evaluate that, In his intransigence, Milei managed to group the governors who have proven to be able to raise demands to the central administration, As evidenced that they have achieved half a sanction for these two projects with more than two thirds (56 affirmative votes) in the Senate.
After the sanction of the initiatives that affect the treasure accounts, the Executive insists that they will veto and/or prosecute them. At the same time, he raised the tone in the public debate by accusing the opposition of carrying out “an institutional blow” and Milei came to qualify as “traitor” Victoria Villarruel for having presided over the transfer of the Senate in which these projects were approved (in the surroundings of the vice president they explain that, if she did not do it, the helm were going to take the authorities of the chamber that follow her in the hierarchical line).
Fiscal cost
From the National Government they insist that the fiscal balance is not negotiated and calculates that opposition initiatives They have a fiscal cost of 2.5 points from GDP (Against a primary surplus of 1.6% planned for the year).
Other calculations pose minor figures. For example, the Congress Budget Office estimated that modifications in matters Disability could cost 0.42% of GDP in what should be added 0.66% by retirement adjustments.
The distribution of fuel tax plus atns could mean 0.38%, according to ANALYTICS The sum reaches 1.46% of GDP.
Meanwhile, for the PXQ consultant The fiscal cost of all projects is something else, since according to their numbers It would reach 1.6% in 2026.
The incidence for The remaining of 2025 of the battery of measures approved by the Senate amounts to 0.7% of GDPaccording to Ecolatinaas long as PXQ calculates it by 0.8%.
But beyond the fiscal impact, among the market operators it is estimated that at least until the elections, political times will be turbulent, a reason more that leads them to think that It hardly down the short -term country risk.
Fold
A key piece in the relationship with the governors is Santiago Caputobut in the Casa Rosada it is commented that the star advisor He retreated in recent days.
The relationship with the leaders of the Interior is one of the many tasks in charge of Caputo. It is also the dialogue channel for legislators, political representatives, businessmen and union. Also, the ministers used to go through their office when they needed a political definition. Now they say in the official halls that the advisor is little present.
The explanation that occurs in libertarian sources for this attitude of Caputo is linked to “The differences” he has with Karina Milei. They affirm that The advisor does not match the strategy carried out by the president’s sister to train candidates for the next elections with “pure” libertarians. A difficult resolution conflict since no one can believe that there is the option to choose between Karina and Santiago Caputo.
Some speculate that Santiago’s withdrawal would be part of a strategy to show Karina that her role is indispensable as, at the time, she used to highlight Milei.
In the advisor’s opinion, they comment, freedom progresses I should agree with the governors Because, no matter how much the ruling party does very well in the elections, it will not have majorities in Congress.
Privatizations
These internal clashes could partly explain the concern in business circles regarding “To the limited progress that has so far been achieved in privatizations.”
Different officials intervene in the issue, such as the Minister of Deregulation and Transformation of the State, Federico Sturzeneggerthe head of the public business transformation agency, Diego Chaherand the infrastructure coordinator of the Palace of Finance, Martín Maccarone. However, it is commented that Initiatives do not advance because there is no superior authority that drives processes.
It would not be the only problem. For example, in companies there are doubts about the way in which the government intends to carry out a critical issue, such as the improvement and construction of routes.
The president publicly referred to the model to tender more than 9,000 kilometers of routes. According to Milei’s words, it’s about “Put the new route and then you operate it, you are going to collect the toll, and then when you finish, you transfer it over a few years, which can do that the private sector without any problem.”
However, For companies “they do not close the numbers” and add that the elimination of roads generates problems to address logistics. In this sense, they indicate that the call to a tender of 741 kilometers of national routes faces problems due to the lack of interested parties. Although the call includes important sections in the provinces of Buenos Aires, Entre Ríos and Corrientes, the deadline for the presentation of offers had to be extended until August 5.
In private media it is said that the authorities are giving few definitions that do not allow with minimal precision the rate of return of the projects -and less in an unstable economy and lacking credit such as Argentina. They say that, given the restlessness of the potential contractors on tariff policy, the government’s response was “First do the works and then we see the toll,” a formula that is interpreted as impossible.
Thinking about 2027
While the Executive Power distances itself from the governors, important trade unionists are making discreet approaches to the leaders of the Interior to put together a center proposal for the national elections of 2027.
Some of the union popes think that a renovation is necessary that should put aside both the province of Buenos Aires and the capital. In other words, exclude the macrismo and other leaders who are considered from the past, such as Cristina, Axel Kicillof and Sergio Massa.
Source: Ambito
