Poverty in Argentina soars by over 50% as government austerity bites

Argentina’s poverty rate soared to almost 53% in the first half of the year, official data released on Thursday showed, the first hard evidence of the painful impact of libertarian President Javier Milei’s tough austerity measures.

Argentina’s poverty rate soared to almost 53% in the first half of the year, official data released on Thursday showed, the first hard evidence of the painful impact of libertarian President Javier Milei’s tough austerity measures. That marked a steep jump from 41.7% at the end of last year and more than double the 26% just seven years ago, underscoring the severe cost to regular Argentines of repeated economic crises that have hammered the South American nation. The data underscores how Milei’s spending cuts, aimed at overturning a deep fiscal deficit, have caused major short-term pain. The country is in a deep recession and inflation remains in triple digits, though there are signs things are improving. “Since this government came to power, jobs have dropped away,” said Irma Casal, a 53-year-old in Buenos Aires, who works three shifts as a garbage recycler, cardboard collector and bricklayer, but still struggles to stay afloat. “We work twice as hard for less and we have to keep going.” Milei’s spending cuts have been cheered by markets and investors for helping right the state’s finances after years of deficits, but have pushed the country into a recession, despite signs the economy could now be bottoming out.