Argentina’s Cabinet Reshuffle: Power Plays Amid Economic Revival

In the heart of Buenos Aires, a political drama unfolded on October 31, 2025, as Argentine President Javier Milei accepted the resignations of two key figures in his administration: Chief of Staff Guillermo Francos and Interior Minister Lisandro Catalán.

This shake-up came mere days after Milei’s libertarian party, La Libertad Avanza, triumphed in midterm elections on October 26, bolstering its congressional seats and signaling public support for his aggressive reforms.

Francos, a 74-year-old veteran politician who had bridged dialogues with provincial leaders since May 2024, cited swirling rumors of cabinet changes in his X post, stepping aside to let Milei launch a “new phase” unencumbered.

Hours later, Catalán—Francos’s ally, appointed just six weeks prior—followed suit, praising the president’s vision for liberty-driven change while reaffirming his backing from afar.

Behind the scenes, the moves exposed simmering rivalries. Tensions between Milei’s sister Karina, the influential Secretary General, and advisor Santiago Caputo over key appointments had escalated, with Francos openly critiquing Caputo’s shadow power.

The reshuffle favored Karina’s camp: Presidential spokesperson Manuel Adorni, her close ally, assumed Francos’s role on November 3, promising streamlined reforms from December 10 onward.

Argentina’s Cabinet Reshuffle: Power Plays Amid Economic Revival

That same evening, Milei dined privately with former President Mauricio Macri at the presidential residence, hinting at potential alliances to push deregulation and privatization amid ongoing economic stabilization.

Milei, an economist who stormed into office in December 2023, has slashed inflation from over 200% annually to around 32% by mid-2025, spurring a 6.3% GDP rebound through fiscal discipline—contrasting sharply with prior policies that fueled decades of instability and debt.

Yet, this internal friction underscores the challenges of dismantling entrenched systems that have long hampered growth.

For outsiders eyeing Argentina’s potential, this episode reveals how bold leadership navigates infighting to foster opportunity, offering a glimpse into a nation pivoting toward prosperity despite historical burdens.

As reforms advance, watch for impacts on investment and daily life in this vibrant South American powerhouse.