In an extensive column published in Infobae, President Javier Milei presented his vision for Argentina's economic future. He asserted that, after having avoided "the worst crisis in history," the country is now in a position to begin a sustained cycle of economic growth.
In his analysis, Milei combined historical references, theoretical foundations, and management results with a clear message: "We are on the path to make Argentina great again."
From historical poverty to modern growth
Milei began with a long-term historical perspective. He pointed out that for almost the entire existence of Homo sapiens, extreme poverty was the norm. However, starting with the Industrial Revolution and with Adam Smith's work as a turning point, there was a radical change in living conditions. According to the president, economic growth is a recent phenomenon, but it depends on essential variables such as the accumulation of physical and human capital, savings, and respect for private property.
From this perspective, he harshly criticized Keynesian and populist policies that "stimulate consumption with fiscal deficit and destroy incentives for investment." He also dismissed export-led growth as a viable model if it means "exporting savings and reducing domestic investment."
Fiscal adjustment, inflation, and investment
Javier Milei: 'Argentina está en condiciones de volver a crecer'
One of the central points of the text was the result of the fiscal adjustment undertaken since December 2023. Milei maintained that the combination of a 15% GDP cut and the zero-deficit policy not only avoided hyperinflation but also laid the foundations for future growth. "Inflation will be a thing of the past in 2026," he stated.
He also highlighted the sharp drop in country risk, which fell from 3,000 to around 600 basis points. According to his calculations, this would enable a rate of per capita growth of at least 4% for more than a decade, driven by greater private investment.
"We not only avoided the great depression that many predicted, but 10 million Argentines emerged from poverty," the president stated.
Human capital and state structure
Milei also defended the creation of the Ministry of Human Capital as a strategic bet for development. Based on contributions from economists such as Gary Becker and Paul Romer, he explained that human capital accounts for up to 85% of economic growth. The ministry's comprehensive approach includes childhood, health, education, retraining, employment, and the pension system.
Although he acknowledged inherited difficulties, especially in the health area, he stated that all the ministry's objectives are being "overachieved."
Liberalism, deregulation, and demographics
True to his ideology, the president defended classical liberalism as the most efficient and fair path. He cited authors such as Benegas Lynch (h), Huerta de Soto, and Adam Smith, and asserted that freer countries are wealthier, have fewer poor people, and higher life expectancy.
Javier Milei: 'Argentina está en condiciones de volver a crecer'
In this context, he considered deregulation to be key to unleashing the economy's "increasing returns" and criticized the neoclassical approach that tends to combat monopolies at the expense of growth. "Deregulation unleashes the forces of economic growth," he stated while defending DNU 70/23 and the Ley Bases.
He also linked the defense of life to economic growth, considering demographics as an essential factor. In this regard, he expressed opposition to "green policies" that, according to him, undermine birth rates and the future of humanity.
Long-term outlook
In closing, Milei stated that Argentina has strategic sectors with high potential such as oil, gas, mining, agriculture, the nuclear sector, and artificial intelligence. With lower tax pressure, lower inflation, and declining interest rates, he considered that there are "reasons to bet on the country."
He also foresees an appreciation of the peso due to foreign currency inflows, which would benefit the services sector, intensive in employment and quick in generating jobs.
"Unless we return to embracing socialist ideas, we are on the right path," he concluded, with his characteristic battle cry: "Long live freedom, damn it!"
