Miracle: In the world of economics, Argentina has always been a country full of lessons both inspiring and cautionary. Recently, President Javier Milei has been praised by some as leading an “economic miracle.” But not everyone shares this optimism. Among the strongest critics is Saifedean Ammous, the renowned economist and best-selling author of The Bitcoin Standard, who believes the nation is walking into yet another financial storm.
Bond Rollovers and the Looming Default
Miracle Ammous has taken a firm stance against Milei’s policies, warning that Argentina is far from the success story many are trying to paint. His criticism comes at a time when Argentina attempted to roll over its bonds with a record-breaking 69% interest rate yet only managed to secure 61%. For Ammous, this failed attempt is a loud alarm bell signaling the possibility of default or even a deeper inflationary spiral.
Mounting Debt and International Loans
Miracle According to Ammous, Argentina’s reliance on new debt makes matters worse. With over $42 billion owed to international lenders such as the International Monetary Fund (IMF), the World Bank (WB), and the Inter-American Development Bank (IDB), the country is heavily burdened. Ammous points out that no matter how much optimism surrounds Milei’s government, the hard reality is that investors still lack confidence in Argentina’s ability to stabilize its economy.
Inflation and Unfulfilled Promises
Miracle Inflation remains at the center of this crisis. Even by official numbers which Ammous claims are manipulated prices have surged more than 150% since Milei assumed office. During his campaign, Milei had promised bold reforms, including shutting down the central bank to curb inflation at its root. But Ammous argues that these promises remain unfulfilled, and without structural changes to the monetary system, Argentina’s economic problems will only deepen.
Criticism of Libertarian Policies
Miracle He did not hold back when addressing Milei’s so-called libertarian approach, saying:
“All talk of a free market is empty rhetoric as long as the government manipulates the money, which is a part of every economic exchange in the market, and in Argentina, government control of the money is complete.”
The Future of Argentina’s Economy
Miracle These harsh words reflect the concerns of many economists who believe that Argentina’s current path may not lead to recovery but to another cycle of crisis. While Milei continues to push deregulation and cut government spending, critics argue that without monetary reform, such steps may fall short of creating real stability.
Miracle For Ammous, the dream of an Argentine economic miracle is nothing more than an illusion a story crafted on shaky foundations of debt, inflation, and broken promises. Whether Milei can prove these critics wrong remains to be seen, but for now, Ammous and others are warning that time is running out for Argentina to make the changes it desperately needs.
Disclaimer: This article is based on opinions and statements made by economist Saifedean Ammous regarding Argentina’s current economic policies. It is intended for informational purposes only and should not be taken as financial or investment advice.
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