BUENOS AIRES, Nov 24. The President-elect of Argentina, Javia Milei, announced on Friday via a tweet on the social media platform X that he fully intends to close the country's central bank, which was a key pledge in his election campaign. And that it was a "non-negotiable matter." the statement said.
The statement was issued in response to what he called "false rumours." At the same time, the Libertarian economist is currently focused on putting together his team for when he assumes office on Dec. 10th. His cabinet appointments have so far been more moderate than many had expected, suggesting he will be taking a more measured approach to his policies than many had expected.
Milei strongly supports laissez-faire capitalism and aligns with anarcho-capitalist principles. He has argued that the Central Bank of Argentina has become too powerful and has acted as a mere “tax collector” for the government instead of maintaining economic stability. He believes that shutting down the bank will help the country to become more fiscally responsible and reduce its reliance on foreign debt.
The decision to shut down the Central Bank has been criticised by some financial experts, who fear that it could lead to increased inflation, higher interest rates, and currency devaluation. They argue that the bank’s role in helping to maintain economic stability and regulate the financial system should not be underestimated.
Nevertheless, it is clear that Milei is determined to make changes in Argentina, and shutting down the Central Bank is part of his plan. How this decision will affect the economy remains to be seen, but it is a move that has been met with optimism and pessimism. Only time will tell if Milei’s decision to shut down the Central Bank of Argentina will succeed or fail.
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