IDB President approves Milei's reform after rising poverty

This Sunday, October 13th, Ilan Goldfanj, president of the Inter-American Development Bank (IDB), demonstrated support for the reforms carried out by Javier Milei, president of Argentina. Furthermore, Goldfanj announced that he intends to grant more than US$3.8 billion in credits to Argentine territory this year, as the country is facing financial problems.

Poverty has grown in Argentina in the last six months

In an article that was published by the Financial Times newspaper, Ilan reforms that Javier Milei's management method made notable progress in just seven months, converting a primary deficit of 2.9% of GDP at the end of 2023, to a surplus at the end of August 2024. Goldfajn emphasizes that it is not only necessary to improve public accounts, the intention in the end is to create job opportunities and achieve inclusive and long-term evolution. Despite the fiscal improvement, the poverty situation in Argentina increased in the first six months of 2024, reaching more than 50% of the country's population, according to data provided by the National Institute of Statistics and Census of Argentina.

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_{Javier Milei during the presidential debate in the second round (Photo reproduction: Luis Robayo/Getty Images Embed)}

Milei is under pressure after 10 months in office

The most recent data demonstrate the pressure that President Javier Milei has faced over the last ten months as president of Argentina, he is going through a social and economic crisis, with high debts, deterioration of the exchange rate and scarce international reserves, in addition to a rate of inflation reaching 209%. There were 3.4 million people who reached the poverty mark, according to Indec. There was a growth of 11.2 percentage points compared to the second half of 2023, when 12.3 Argentines were in poverty, totaling 41.7% of the population.

Featured photo: Javier Milei during an event speaking about 'La Libertad Avanza' in Buenos Aires (Reproduction/Tomas Cuesta/Getty Images Embed)