Miley says he will cut taxes if Congress approves the reforms

The Argentine President’s proposal aims to limit state interference in the economy. The text has already been approved in the Council and is awaiting analysis by the Senate

Argentine President Javier Miley said on Saturday (May 25, 2024) that he would reduce “Significantly” Taxes if the Argentine Congress approves the economic reforms proposed by the government. The information is from Reuters.

“The national government will proceed with a significant reduction in taxes, starting with the national tax, which is a distortionary tax,” Miley said during an event in Cordoba.

The Argentine House of Representatives approved the economic reform bill presented by the government of Javier Miley. The text is awaiting consideration by the Senate. The proposal provides, for example, for the possibility of privatization of state-owned companies and reduces the possibility of state intervention in the country’s economy.

Economy

In the context of the economic crisis, Miley’s government implemented measures to cut spending. The country’s public sector achieved a monthly surplus for the third consecutive time in March. The surplus was 275 billion pesos.

The base interest rate in Argentina fell from 50% to 40%. When Miley took office, on December 10, 2023, interest was 133% per annum.

The monthly inflation rate also decreased in Argentina. In April, the index slowed to 8.8%. Annual inflation in Argentina rose to 289.4% in April – the highest level since February 1991, when inflation reached 582%.