Argentina's 53% Poverty Rate: Impact of Austerity Measures

Argentina's poverty rate has soared to nearly 53%, the highest in recent years, due to President Javier Milei's tough austerity measures. While these spending cuts aim to fix fiscal deficits, they have significantly impacted ordinary citizens, pushing the country into recession. Despite improvements, poverty remains a critical issue.

Argentina's poverty rate soared to almost 53% in the first half of the year, official data released Thursday shows. This marks the first hard evidence of the painful impact of libertarian President Javier Milei's tough austerity measures.

The poverty rate's sharp escalation from 41.7% at the end of last year and more than double the 26% level seen seven years ago underscores the severe impact on regular Argentines. These findings highlight how Milei's spending cuts, aimed at reversing a deep fiscal deficit, have inflicted significant short-term pain. The country faces a deep recession with inflation in triple digits, although early signs of improvement are emerging.

"Since this government came to power, jobs have vanished," said Irma Casal, a 53-year-old Buenos Aires resident who juggles shifts as a garbage recycler, cardboard collector, and bricklayer but still struggles to stay afloat. "We're working twice as hard for less and we must keep going."

(With inputs from agencies.)