Steve Forbes asks Milei to dollarize the economy amid investor doubts

The president of Argentina, Javier Milei, from the Middle East, ordered the withdrawal of the project of the “Law bases and starting points for the freedom of Argentines” when he learned that it would return to commission. This situation is generating doubts and uncertainty among investors and foreign diplomacy, according to the newspaper El Cronista, regarding a central axis of management: the concrete viability of carrying out the Government’s economic plan through decrees so that Argentina can get out of the crisis once and for all.

Added to this is the DNU (Decree of Needs and Emergencies), with 300 articles, which advanced with a strong opening of the economy, but that garners objections in the courts with accumulation of protections. Without going any further, lThe labor reform incorporated in the DNU is being held up in the courts and many companies do not know how to act.

In January, inflation in Argentina moderated but in 12 months the price increase exceeded 250%, one of the highest rates in the world, according to official figures.

This afternoon, former Argentine president Cristina Kirchner accused the ultra-liberal president of putting Argentina on the brink of shock and described him as a “showman-economist” in a document she published on her social networks.

He also targeted the Minister of Economy, Luis Caputo, whom he called “the architect of the serial indebtedness of the government of (former president) Mauricio Macri” (2015-2019), of whom he was also minister when the country agreed to a loan with the Monetary Fund. International for 44,000 million dollars.

In this regard, Caputo considered Kirchner responsible for generating “the entire fiscal deficit of the last 16 years.”

The letter for dollarization

Businessman Steve Forbes threw a open letter of warning to president Javier Milei which he later uploaded to YouTube. In this, he values ​​his favorable condition for the free market, but He warned about the need to urgently advance the dollarization of the economy and the reduction of taxes.

Given the document from the American businessman, the government’s reaction was immediate.

Milei’s Economy Minister, ‘Toto’ Caputo argued on his social networks that “Steve Forbes’ statements show that Javier Milei is one of the five most influential people in the world.”

The editor and former Republican presidential candidate told Milei that: “on your shoulders rests not only the future of your country, but also the cause of freedom and free markets around the world.”

“Since his electoral victory, he has been inundated with an avalanche of warnings that it is not possible to dollarize the economy. This chorus of naysayers is wrong. Totally wrong. You can do it now. Opponents claim that Argentina does not have enough US dollars to exchange them for pesos. It isn’t true. “Your government already has more than enough greenbacks on hand to buy every peso note and coin in circulation and has a lot of money left over,” he pointed.

Forbes noted that those who are concerned about dollarization “overlook a huge fact: The people of Argentina already have tens of billions of US dollars hidden, both abroad and under mattresses at home. “More and more transactions in Argentina are being carried out with dollars or denominated in dollars.”

President, if you do not immediately dollarize the economy, you will not succeed and that failure will discredit the free market philosophy so necessary for a better world. Yours at liberty, Steve Forbes”he concluded.

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