Argentina's President-elect Javier Milei Faces Resistance Over Radical Economic Proposals

Despite Controversy, Milei Signals Shift Towards More Moderate Policies and Softens Stance on Foreign Relations

Argentina's President-elect Javier Milei, known for his radical economic proposals, is set to take office on December 10. His plans include closing the country's central bank, dollarizing the economy, and making significant cuts in government spending.
Milei's proposals have sparked controversy and resistance, particularly from trade unions and left-wing groups who have vowed to fight against his reforms.
Despite his radical stance, recent reports suggest Milei may be leaning towards a more moderate economic team and policies, which has led to a rally in markets.
Milei has also softened his stance on foreign relations after threatening to cut diplomatic ties with China and Brazil during his campaign. He has since thanked Chinese President Xi Jinping for a congratulatory letter and invited Brazil's Luiz Inacio Lula da Silva to his inauguration.
However, economists warn that Milei's plans, particularly the process of dollarization, are fraught with challenges and could potentially disrupt the financial system and erode public trust in banking institutions.