Argentina Devalues the Peso Over 50% In First ‘Shock Package’ to Tackle Hyperinflation by President Javier Milei
When new Argentinian President Javier Milei promised to deliver an economic shock package, he wasn’t joking around.
So, on Tuesday (12) the new government announced a sharp devaluation of its currency, as well as cuts to energy and transportation subsidies.
These painful adjustments are what new President Javier Milei says are needed to deal with the catastrophic state of the country’s economy.
Associated Press reported:
“Economy Minister Luis Caputo said in a televised message the Argentine peso will be devalued by 50% from 400 to the U.S. dollar to 800 pesos to the dollar.
‘For few months, we’re going to be worse than before’, he said, two days after the libertarian Milei was sworn in as president of the second largest economy in South America and immediately warned of tough measures.”
Milei has publicly said that the country didn’t have time to consider other economic alternatives.
