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Argentina’s Governors Freeze Milei’s Budget Agenda; Sánchez Survives Crisis as Feijóo Rallies PP Votes

Provincial governors have demanded legislation guaranteeing automatic revenue transfers from fuel taxes alongside treasury contributions to override presidential discretion.

Overview

  • All 24 Argentine governors united to demand a binding revenue-sharing law for fuel taxes and treasury contributions, bypassing President Milei’s veto power.
  • Javier Milei’s lack of aligned governors has left his administration unable to advance key fiscal and social reforms until Congress is reconfigured after the midterms.
  • Pedro Sánchez reshuffled the PSOE’s leadership at a prolonged Federal Committee, replacing Santos Cerdán and Francisco Salazar; he unveiled 13 new anti-corruption and transparency measures.
  • Regional PSOE barons including Emiliano García-Page publicly urged Sánchez to seek a confidence vote or call early elections amid plummeting approval.
  • At its July congress, the Partido Popular endorsed Alberto Núñez Feijóo with 99.24% support, set a ten-million-vote goal and launched a unified campaign casting itself as a centrist alternative.