Overview
- La Libertad Avanza captured 40.7% in the Oct. 26 legislative vote, giving President Javier Milei fresh political space for a second phase of reforms.
- The government is prioritizing tax and labor changes tied to an IMF financing program of about $20 billion, with analysts also citing a U.S. Treasury $20 billion swap as market support.
- Planned labor measures target easier hiring and firing and a shift from sector-wide to company-level bargaining, which would reduce unions’ negotiating power.
- Polling cited by UPI shows soft support: CB Consultora measures Milei’s approval at 45% in October, down from 57% last December, with a 28% core base and roughly 13% apathetic backers.
- Voters rewarded perceived stability and a decline in inflation, but experts say sustained backing hinges on stronger consumption and jobs, and fiscal changes could trigger clashes with provincial governors.