Argentine Senate passes pension spending increase in a blow to President Milei’s radical austerity
Associated PressAUG 2024
Argentina Senate Passes Pension Increase Despite Milei Opposition
Above: Javier Milei at Campo Argentino de Polo on June 20, 2025, in Buenos Aires, Argentina. Image copyright: Tomas Cuesta/Getty Images
The Spin
Pro-government narrative
Milei's austerity measures are essential for Argentina's economic stability after decades of fiscal irresponsibility. The pension increases threaten to destroy the hard-won fiscal surplus and could reignite inflation that was finally brought under control. These populist measures represent the same failed policies that led Argentina into repeated economic crises.
Government-critical narrative
The pension increases are necessary to help vulnerable retirees who have lost significant purchasing power due to inflation and austerity cuts. The current minimum pension falls below the poverty line, and elderly citizens deserve dignity after contributing to society throughout their working lives. Milei's extreme cuts have gone too far at the expense of the most vulnerable.