Milei’s Argentina seals price range surplus for first time in 14 years

(Reuters) -Argentina introduced in its first price range surplus in additional than a decade in 2024, information revealed on Friday confirmed, marking a win for libertarian President Javier Milei and his sweeping austerity push in his first full yr in workplace.

The nation’s price range surplus got here in at 1.76 trillion pesos, or 0.3% of gross home product (GDP) within the full yr, the financial system ministry stated. In the meantime the first fiscal stability, which excludes debt funds, was as much as a ten.41 trillion peso surplus, or 1.8% of the GDP.

“Zero deficit is a actuality,” Milei stated on social media. “Guarantees are fulfilled.”

Milei slashed public spending after taking workplace in December 2023 in a bid to tamp out rampant inflation, which hit an annual peak of practically 300% in April of final yr.

The financial system ministry in an announcement stated that the federal government’s fiscal anchor would stay in place for 2025.

The price range and first balances for the month of December had been within the damaging, marking the primary month-to-month major deficit after 11 months within the black.

The South American nation logged a major fiscal deficit of 1.30 trillion pesos and a monetary deficit of 1.56 trillion pesos in December.

Economic system Minister Luis Caputo attributed the deficits to seasonal components, on condition that December was sometimes a month of excessive authorities spending.