The Argentine Senate recently voted against President Javier Milei’s decree for economic deregulation and freedom.
Issued in December, the proposal aimed to simplify economic regulations but was rejected by 42 votes against, 25 in favor, and four abstentions.
Victoria Villarruel, the Senate President and Vice President, had scheduled this pivotal session.
Despite the potential for rejection, she included Milei’s decree on the agenda, highlighting a rift within the government.
Economy Minister Guillermo Francos deemed this move avoidable, while Presidential Spokesman Manuel Adorni later denied any conflict with Villarruel.
Decree 70/23, focusing on deregulating the economy, remains in effect except for its labor reform section, which is currently paused by the judiciary.
It awaits review by the Chamber of Deputies, where its future hangs in the balance.
Milei’s administration asserts the decree has already yielded benefits, such as increased rental options, an open skies policy for airlines, and more healthcare choices for workers.
However, Senator Ezequiel Atauche criticized the opposition’s resistance, accusing them of obstructing governance and ignoring the government’s positive impact.
Following the Senate’s decision, Milei faces multiple paths forward. He could seek compromise with opposition parties and revise the decree to garner broader support.
A public campaign might sway legislative opinion by highlighting the decree’s advantages.
Additionally, Milei could refine the decree for legal compliance or leverage presidential powers for partial implementation.
Breaking down the decree or building stronger political alliances might ease its passage.
A favorable shift in the legislative landscape or a strategic judicial defense could also aid Milei’s cause.
The strategy chosen will reflect Milei’s priorities and the political context within Argentina.