"Javier Milei's Inauguration Sparks Speculation on Argentina's Economic Future"

Argentine President Javier Milei, a libertarian economist, warned in his inaugural speech that a sharp and painful fiscal shock is unavoidable to address the country's severe economic crisis, with inflation on track to reach 200%. Milei emphasized the need for a shock adjustment and stated that there is no money available. While his shock therapy economic plan has gained support from investors, it also carries the risk of pushing more people into poverty. Milei's government aims to implement a fiscal adjustment equivalent to 5% of GDP through cuts primarily targeting the state.