Milei vs Massa: HyperInflation Grabs Spotlight In Argentina Election

In Argentina, it doesn’t take much effort to realise the devastating effect that one of the highest inflation rates in the world is having on daily life. The latest official figures put it close to 140%.

Javier Milei, a self-described anarcho-capitalist who admires Trump and Bolsonaro, is within reach of victory in Sunday’s presidential runoff election.

His unorthodox proposals have proved appealing to voters who believe Milei’s opponent – Sergio Massa, the Economy Minister, is implicated in Argentina’s economic malaise.

Milei vs Massa: Calming Economic Woes

Milei has proposed closing Argentina’s central bank, dollarising the economy, slashing government spending and privatising the pension system.

But his critics warn the proposals risk inflicting more pain on ordinary citizens. Earlier this month, dozens of economists signed an open letter warning his plans would bring “devastation”.

Meanwhile, Massa has pledged to renegotiate Argentina’s debt with the IMF, lower taxes for small businesses and promote an increase in exports.

15 Exchange Rates That Range Dramatically

Whoever wins the runoff election on Sunday, however, will be under tremendous pressure to find an effective solution for Argentina’s concerning economic troubles.

Although the Argentinian peso remains the official currency, the economy relies heavily on the US dollar. Argentina has 15 exchange rates which range dramatically.

Economists say this is one of the factors that make manufacturing and importing goods expensive, which in turn has created a situation in which prices bear little relation to one another.

Argentinians Used To Risks, Not Losing Hope

In an effort to control rates, the government has implemented policies including establishing a list of basic products at low prices and discount programmes, making shopping an intricate art.

Argentina’s economic crisis is further deepening inequality. Presently, 40% of the country is living under the poverty line, according to official figures.

The country is “used to living among disasters,” said Mauricio Rodríguez, a shop owner. “We have a beautiful country with incredible people, so I never lose hope.”