Lawless adjustment. The Government limits management to decrees, “Toto” Caputo’s buttons and Patricia Bullrich’s agendaPoliticsBy Maia Jastreblansky

The government of Javier Miley It exhausted, in its first two months of life, a good part of the refounding plan it had on the first day. With the Bases law frustrated and with the DNU judicialized, the libertarians will now move to a daily management phase with limited tools. In the Casa Rosada they emphasize that the official project will continue through fiscal adjustment to achieve the zero deficit. They boast that the Minister of Economy, without the law, already achieved good fiscal results (they claim that there was a financial surplus in January). And they anticipate that they will promote all the deregulations that are possible via decree.

Government will not promote a plebiscite to promote the Bases law as he agitated, the approval in particular was barely frustrated. Nor is the ruling party going to reactivate the debate in Congress in the short term, after sending the project back to committee and bringing the discussion to a clean slate. “At no time was the Bases law part of the government plan. I had a long-term goal. We can continue with the fiscal adjustment plan and zero deficit without the law,” they insist on Balcarce 50.

Finally, The Government will not move the chips to promote a new fiscal pact with the provinces, in the midst of declared hostility with the governors. “The Government does not need the fiscal pact. It’s their issue. If they want it, they can come find us and tell us that they are going to vote on the more than 600 articles of the project that we sent on the first day.”

Thus, near Milei they are preparing to walk the next section of government between intransigence with the entire political arc -except with Pro- and management limited to the economical button panel in the hands of Luis “Toto” Caputo. The premise is to sustain zero deficit by cutting sensitive funds to the provinces. And seek a release of the exchange rate stocks towards the middle of the year.

Luis Caputo, in an interview on LN+Pettinelli, Maria Belen (Editor)

Security and shrinking of the State

The government agenda will be completed with announcements on security, led by Patricia Bullrich, as seen on Thursday with the launch of the protocol so that security forces can use firearms to prevent escapes in dangerous crimes. With these two axes, the Minister of Economy and his Security counterpart will be the officials with the greatest visibility in the coming weeks.

According to a senior official at the Casa Rosada, the technical team that worked on the Bases law and the DNU from now on will focus on the elaboration of more limited decrees that tend to deregulation and debureaucratization of the economy. In this group come together Federico Sturzenegger with his collaborators – there he carves Maximiliano Fariña- and the chief of staff Nicolas Posse next to his right hand, Jose Rolandi.

Posse, meanwhile, remains very focused on everything related to the review of areas of the State, the shrinking of structures and resource optimization. “There is going to be a lot of simplification, we are going to eliminate rules that add bureaucracy,” said an official source.

Other officials, however, will be more limited in their scope of action. The Minister of the Interior, Guillermo Francos, For example, it was limited to displaying photos with governors, after Milei blamed the provincial leaders for the fall of the omnibus law, treating them as “corrupt” and pointing out that “an investigation” would have to be “done” to “go looking” to those who voted against certain points of the law.

The minister continues to have low-profile conversations with the governors, but he no longer displays those political bridges. At least for a time, The uncompromising mode will prevail.

Milei made it clear on Saturday how he will move forward with his government in the short term: “Let (the governors) use their resources, I am not going to negotiate my economic program, the zero deficit, the sanitation of the Central Bank and freeing the exchange market . “I am going to end inflation and insecurity, and in the middle I am going to expose corrupt politicians.”

Discursively, in the Casa Rosada they took care to reverse the failure of the omnibus law with the narrative of the “rearrangement of the political board.” “They believe that what happened with the law is a problem for us and it was not. The law had two simultaneous objectives: make long-term changes and reorder the political discussion. Either scenario was positive for us. That’s why we played all or nothing,” they said at Milei’s small table.

Sooner or later, Milei will need Congress. Whether to search tax tools to support Caputo’s plan (with the law the minister resigned the money laundering and the moratorium) or to promote some of the chapters of the Bases law in more limited initiatives. For this reason, the President began to talk about the possibility of merge into an interblock with Pro, that allows him to gain political muscle. A cabinet reconfiguration, for now, appears more difficult. The LLA leadership assures that they are not yet willing to offer relevant positions to their partners in the Executive Branch.

Maia Jastreblansky

Themes

Political newsJavier MileiPatricia Bullrich

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