Milei and Caputo are going for more, after the anti-worker decree presented last week and the strong devaluation that is eating into the income of the vast majority, the package of laws adds new modifications in economic matters within the framework of the “public emergency in economic, financial, fiscal, pension, security, defense, tariff, energy, health, administrative and social matters.”
More debt. Article 107 repeals article 1 of the Law Strengthening the Sustainability of Public Debt. This is the law drafted by Guzmán and approved in March 2021, at the request of the IMF, which sought to compromise the entire political spectrum to legitimize the fraudulent debt taken under Macrism. This law included a concession for speculators: it enabled the extension of jurisdiction, an act against sovereignty, where foreign courts are granted power to rule on any dispute over the public debt.
Article 65 of the package reads: “The NATIONAL EXECUTIVE POWER may carry out public credit operations to restructure the public debt and the guarantees granted in the terms of Articles 62 and 64, through its consolidation, conversion or renegotiation, taking into account the prevailing financial market conditions. If an increase in public debt is created as a result of carrying out these operations, the debt authorization planned for the respective year must be affected. The operations charged to this article will be carried out within the framework of the multi-year debt strategy that will be defined by the MINISTRY OF ECONOMY.”
If these modifications are approved, the “freedom” of public debt with different external creditors would begin to govern, without the need for approval from Congress. That is to say, this practice of submission to international financial capital that throughout the country’s history deepens national decline would be facilitated, while guaranteeing business to speculators and capital flight.
For its part, the project will leave in force the second article of that rule, which restricted indebtedness with the IMF. “It is provided that every financing program or public credit operation carried out with the International Monetary Fund (IMF), as well as any increase in the amounts of these programs or operations, will require a law of the Honorable Congress of the Nation that expressly approves it. “, establishes article 2, which would not have modifications. That is, if Milei negotiated a new agreement with the Fund, it would need the approval of Congress.
Continuing to grow the illegitimate external debt, in the framework of a very critical social situation with poverty that affects more than 56% of children under 14 years of age and 40% of the population, is putting the interests of the big ones first. businessmen and international capital, above the pressing needs of the unemployed, retirees, precarious workers and their families. The fight for sovereign debt ignorance It is one of the fundamental axes to reverse priorities and seek a solution to the serious problems faced by the majority of the population.