Milei & Macri: Power Struggle, Justice Transfer & Debt Crisis in Buenos Aires

by Chief Editor

Milei and Macri: A Fragile Alliance Forged in Political Necessity

The relationship between Jorge Macri and Javier Milei has navigated a complex path, evolving from cautious allies to fierce rivals. Now, the President and the Buenos Aires City Mayor find themselves in a forced coexistence, bound by the need for power and mutual survival. Despite ongoing disputes over debt payments and potential electoral challenges, a recent agreement to transfer labor justice to the city signals a pragmatic, if uneasy, collaboration.

The Justice Transfer: A Deal Driven by Expediency

For over three decades, the transfer of labor justice to Buenos Aires City has remained elusive. However, a shared urgency – Milei’s desire to “halt the lawsuit industry” and Macri’s ambition to achieve what previous administrations couldn’t – has accelerated the process. Negotiations, led by officials from both the national government and the city, culminated in a decree signed by Milei, though notably not by his Justice Minister, Mariano Cúneo Libarona, whose involvement was reportedly met with resistance from within the judicial establishment.

The agreement anticipates the closure of over thirty national courts, shifting the burden of labor cases to newly established city courts. This restructuring is already underway, with the Buenos Aires City Council opening a competition to select judges and prosecutors for these new positions.

Beyond Justice: Power Plays and Political Maneuvering

While the justice transfer represents a tangible achievement, the underlying political dynamics remain fraught with tension. Daniel Angelici, a prominent figure, is reportedly involved in discussions regarding the composition of the new courts, with both the national government and the Macri-Angelici alliance seeking to influence appointments. Pilar Ramírez, the president of La Libertad Avanza in Buenos Aires City, is also playing a key role in these negotiations, potentially positioning herself as a counterweight to Patricia Bullrich’s influence within the party.

The agreement doesn’t resolve all outstanding issues. Negotiations regarding the outstanding coparticipation debt – currently exceeding $530 billion – remain stalled. While the national government has disbursed some funds, the total debt remains substantial, creating a financial challenge for the Macri administration.

Coparticipation Debt and Potential Solutions

The national government has proposed various solutions to address the debt, including the cession of state-owned land. However, the City of Buenos Aires has expressed reservations about fully adhering to this approach. Another possibility being explored is the issuance of bonds, a mechanism that could alleviate immediate financial pressures for both parties.

Despite ongoing discussions, a resolution remains elusive, leaving Milei indebted to Macri in significant amounts.

FAQ

Q: What is coparticipation?
A: Coparticipation refers to the distribution of tax revenue between the national government and the provinces/city of Buenos Aires.

Q: What is the significance of the justice transfer?
A: The transfer of labor justice to Buenos Aires City is a long-awaited move that aims to streamline the judicial process and reduce the backlog of labor cases.

Q: Who is Daniel Angelici and what role does he play?
A: Daniel Angelici is a prominent political figure reportedly involved in discussions regarding the appointment of judges to the new city courts.

Q: What is the current status of the debt negotiations?
A: Negotiations are ongoing, but a comprehensive solution to the coparticipation debt remains elusive.

Did you know? The transfer of labor justice has been a point of contention between the city and the national government for over 30 years.

Pro Tip: Understanding the interplay between national and local politics is crucial for navigating the complex political landscape of Argentina.

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