The Guardian view on Argentina’s austerity year: painful cuts, rising poverty and a geopolitical gamble | Editorial
GuardianJAN 1
Report: Argentina's Poverty Rate Drops to 38.1%
Above: Argentine President Javier Milei arrives to speak during the annual Conservative Political Action Conference (CPAC) in Oxon Hill, Maryland, on Feb. 22, 2025. Image copyright: Alex Wroblewski/Contributor/AFP via Getty Images
The Spin
Right narrative
The dramatic improvement in poverty rates validates the Milei administration's aggressive economic reform strategy. It demonstrates that fiscal responsibility and economic freedom are practical tools for reducing poverty in the long term, with the added benefit of achieving macroeconomic stability and eliminating restrictive economic policies.
Left narrative
The social cost of the government's austerity measures has been devastating, with many Argentines struggling to afford basic necessities, healthcare, and housing. The apparent statistical improvements fail to capture the reality of the increasing hardship and inequality ordinary citizens face.