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Milei Relaunches Government With U.S. Outreach and Governor Talks as Reform Drive Begins

A reshaped inner circle aims to convert the midterm win into votes for a sweeping reform package.

Overview

  • Following La Libertad Avanza’s 40.7% midterm victory, the presidency readied extraordinary congressional sessions to advance labor, tax and penal changes, as new Interior minister Diego Santilli opened meetings with governors Ignacio Torres and Raúl Jalil.
  • Manuel Adorni became chief of cabinet and Karina Milei emerged stronger inside the ruling circle, with the shake‑up billed as a reboot of the Casa Rosada’s ties to provincial leaders.
  • Milei pursued U.S. backing during a trip that coincided with Trump adviser Barry Bennett’s talks in Buenos Aires, while Economy Minister Luis Caputo told investors he aims to buy back bonds and keep the dollar within bands.
  • Provincial leaders pressed for a restart of stalled infrastructure, with Salta’s Gustavo Sáenz linking support for the 2026 budget to fairer fund distribution and the reactivation of more than 1,000 works and 16,000 homes.
  • Press accounts suggested an about $800 million IMF interest payment may have drawn on a U.S. swap, though there is no official confirmation, as Mendoza’s alliance partners wrangled over credit despite a consultant finding national and provincial tallies essentially even.