The Story of the Rise and Fall of Argentina - part 3 -
From 2019 to the present 2020.
Are we becoming another Venezuela or are we going back to democracy and a “final good future?
Cristina Kirchner entered the 2019 presidential elections with the main purpose of destroying any possibility of being confronted by a jury due to her embezzlement of money or any other type of accusation of corruption during her previous presidency. Being extremely savvy on these matters and knowing due to her past experience that she would be able to manipulate the country’s institutions for her own sake, she mounted the almost perfect strategy to succeed in this endeavor. She wrote a book that accused her political opposition of trying “to destroy her and her family in a Machiavellian way” with false accusations. Subsequently she bought the will of Alberto Fernandez, a well-known lawyer and political operator, former chief of staff of her deceased husband and of her during the past presidencies, convincing him to run as president (which she would control) with her as vice-president.
When Fernandez won the election, Cristina Kirchner became the head of the Senate, which the Kirchners controlled. As a member of the Senate, Kirchner is protected from being imprisoned thanks to the immunity the position affords her. So now, with the Senate under her control, she is trying to control the Supreme Court by calling for judges to have limited terms and be selected via public elections. If she succeeds, Argentina will be following the steps of Venezuela.
With the lack of a proper functioning government and the consequences of the almost one year of lock-down due to COVID-19, Argentina has reached a point where more than 50% of its population is under the line of poverty (in contrast with 30% at the end of Macri’s government at the end of 2019).
Inflation is at 40% and unemployment more than doubled. The GDP per capita is down by about -15%.
Taxes are again increasing to the point that many international enterprises as well as local businesspeople are leaving the country. The USD was equivalent to $Arg.65 at the time this government took over in December 2019 and it is now worth $Arg.150.
2021 Midterm elections:
Next step if any to bail out of this never-ending drama…”
The only way out of this debacle is if the opposing coalition led by Macri, now called Juntos por el Cambio, could reach an agreement with the many non-Kirchner Peronists and those smaller centers right and center left political parties that did not vote for either of them.
There will be mid-term elections in September next year for new members of the Congress. It is critical that the opposition led by Juntos por el Cambio and the other parties opposed to Kirchner compromise on a grey zone satisfactory to all.
Enrique Wetzler
December 23, 2020
