Mohan Sinha
28 Oct 2025, 23:38 GMT+10
BUENOS AIRES, Argentina: Argentina's libertarian president, Javier Milei, won big in the October 26 midterm elections, gaining strong backing to continue his bold free-market reforms — supported by billions of dollars from the Trump administration.
The vote was widely seen as a referendum on Milei's first two years in office. His party, La Libertad Avanza (Freedom Advances), won over 40 percent of the vote, far ahead of the left-leaning Peronist opposition, which got about 31 percent. The results were better than most experts expected.
Milei, a close ally of U.S. President Donald Trump, said his party had gained 14 Senate seats and 64 seats in the lower house, giving him enough strength in Congress to block impeachment attempts or override laws he opposes. It was not clear how many of those seats came from allied groups rather than his own party.
Earlier this month, Trump had hinted that U.S. financial support for Argentina — including a US$20 billion currency swap and a $20 billion private bank loan — would depend on Milei's success in the elections. He warned he might withdraw the aid if the Peronists won. Those comments increased pressure on Milei, who has been struggling to prevent a currency crisis as investors sold off pesos before the vote.
In the end, the Peronist alliance suffered a significant defeat, showing how much the once-dominant movement has weakened under Milei. Deep internal divisions and public anger over past economic mismanagement have left the party struggling to rebuild.
Speaking to cheering supporters on the night of October 26, Milei called the victory a mandate to continue his reforms, including spending cuts and changes to taxes and labor laws. He also became an early favorite for reelection in 2027.
"The Argentine people have decided to leave behind 100 years of decline," he said. "Today marks the turning point — the beginning of a great Argentina."
The election drew unusual attention from Washington and Wall Street, though local enthusiasm was limited. Turnout was just under 68 percent, one of the lowest since Argentina's return to democracy in 1983, even though voting is mandatory.
Trump had raised the stakes before the vote, saying: "If he wins, we're staying with him. If he doesn't win, we're gone." Milei had reason to worry — the Peronists won Buenos Aires province just last month by a landslide, triggering a sharp drop in Argentina's bonds and currency and fears that the president's popularity was fading.
To stabilize the peso, Milei used up billions from Argentina's reserves, and the U.S. Treasury stepped in, selling dollars and finalizing emergency credit lines to support the government.
The midterms showed Milei's party expanding its reach — even in areas long controlled by the Peronists. In the Buenos Aires province, which makes up nearly 40 percent of the electorate, Milei's party narrowly beat the Peronists, despite being far behind there just a month ago.
Axel Kicillof, the Peronist governor of Buenos Aires province, criticized Trump's involvement, saying the U.S. and private investors weren't helping out of goodwill. "If they come to Argentina, it's only to make a profit and put our resources at risk," he said.
Milei's free-market policies, such as lowering tariffs and cutting regulations, have made him especially popular among farmers and agribusinesses, helping his party sweep the key soybean-producing Santa Fe province.
Get a daily dose of Milwaukee Sun news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Milwaukee Sun.
More InformationLONDON, UK: Global oil markets could face prolonged disruption as shipping bottlenecks, refinery outages and depleted inventories continue...
WASHINGTON, D.C.: More than 20 million Americans enrolled in Medicare are set to receive a one-time US$90 payment from the U.S. government...
NEW YORK/LONDON: The United States has withdrawn its B-1 bombers from a British air base, days after five men were arrested near the...
CAIRO, Egypt: New details have emerged about the co-pilot accused of attacking the captain with an axe and trying to take control of...
PENINSULA VALDES, Argentina: Scientists in Argentina are investigating why an unusually large number of southern right whale calves...
RIYADH, Saudi Arabia: Saudi Arabia has launched a military offensive against Iran-backed Houthi forces in Yemen, with plans ranging...
WASHINGTON, D.C.: A sharp slowdown in U.S. hiring in September and hefty downward revisions to previous months pushed the prospect...
WASHINGTON, D.C.: U.S. consumer spending surged in August while inflation rose less than economists expected, a combination that could...
WASHINGTON, D.C.: New vehicles sold in the United States will face lower fuel-efficiency requirements under standards finalized by...
(Photo credit: Thomas Shea) Score or go home, that's the challenge in front of the Tampa Bay Buccaneers when they visit the Dallas...
(Photo credit: Denis Poroy) The San Diego Padres staved off elimination and now have their sights set on forcing a decisive Game...
(Photo credit: Denis Poroy) The San Diego Padres staved off elimination and now have their sights set on forcing a decisive Game...
