Anarcho-Capitalism: Javier Milei Looks to Radically Transform Argentina in October Election

2023 Argentina presidential candidate Javier Milei (left) with Santiago Abascal (right), president of the Spanish far-right Vox party. (Vox España on Wikimedia Commons)

Argentina could take a hard turn to the right with candidate Javier Milei in the presidential elections on October 22. Milei received 30 percent of the vote in the August 14 primary, while the center-right candidates won a combined 28.3 percent of the vote and center-left candidates won a combined 27.3 percent. Former Minister of Security Patricia Bullrich will be the center-right candidate running under the Together for Change (JxC) alliance. Minister of the Economy Sergio Massa will be the center-left candidate running with the Unity for the Homeland (UP) alliance. Milei, an economist who currently serves in the National Assembly, has been notorious for his controversial comments on television.

Milei has described himself as “anarcho-capitalist,” seeking to challenge and destroy the Argentinian establishment and promising “an end to the parasitic, corrupt, and useless political caste that exists in this country.” Milei denies climate change as a socialist hoax, believes Pope Francis is a communist, opposes abortion but supports gay marriage, and wants to legalize drugs along with organ harvesting. He also wants to dollarize the economy to reduce inflation and dissolve the Argentine Central Bank. Milei’s running mate, Victoria Villarruel, has sparked her own controversy by opposing both abortion and gay marriage (contrary to Milei), and for her attempts to excuse the atrocities of the Argentinian dictatorship between 1976 and 1983. Milei has supported far-right former Brazilian President Jair Bolsonaro and has ties to right-wing politician José Antonio Kast of Chile, along with the right-wing Vox Party of Spain. He has also praised former American President Donald Trump.

Milei has harnessed widespread anger at hyperinflation, which reached 124.4 percent in September. His proposals include cutting spending by 14 percent of GDP and reducing welfare payments and subsidies. Milei’s ultra-libertarian agenda of slashing government spending and shrinking the size of the state draws a strong contrast with Argentina’s traditional left-wing tilt.

As inflation surges, poverty has surpassed 40 percent, corresponding to a depreciating peso and increasing debt load. The next president would have to renegotiate $44 billion in debt with the International Monetary Fund to reduce Argentina’s interest payments. 

Voters are frustrated with the mainstream parties. Peronists in the Justicialist Party have retained power since 2001, except for the five-year presidency of the center-right Mauricio Macri from 2015 to 2019. Argentina’s dominant Peronists and Kirchnerists have embraced social justice and social welfare, but as hyperinflation continues to wreak havoc in the economy, Argentinians are desperate for change. Milei reflects a complete shift in the political dynamic, promising to abolish tuition-free public education, disband free public health services, and shut at least a half-dozen ministries.

While Milei is the favorite, Massa, a centrist who is promising to reform the Peronist economy, has a shot at winning. Massa has worked to revive the economy as its minister by cutting back some social programs, though he recently promised new cash handouts to help Argentinians struggling with inflation.

While center-right and right-wing parties garnered most of the votes in the primary, analysts believe Peronism may survive thanks to a strong performance by Massa. Milei continues to lead in polls, but his advantage is narrowing. A September poll found that 35.5 percent would vote for Milei, 30.1 percent would vote for Massa, and Bullrich would come in a distant third with 23 percent. 

A November 19 runoff is likely, as no candidate has polled above the 45 percent threshold to win in the first round. Milei could also avoid a runoff if he gets 40 percent of the vote and maintains a ten percent lead over the next candidate. As the election nears, Argentina could break from its strong Peronist tradition, a symptom of the overarching swing to the right in South America.