Argentine President Javier Milei vetoes bill to increase pensions

The libertarian president, who is implementing a policy of radical austerity and “chainsaw cuts” in public spending, described the bill he vetoed as “fiscal irresponsibility.”

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Organisations representing pensioners and left-wing circles condemned the head of state's decision and announced another wave of protests for September 4.

– The president allows himself to veto the bill on indexation pensionsto push them into even greater poverty,” said the leader of the leftist Barrios de Pie movement, Daniel Menendez, as quoted by TN television.

The average pension in Argentina is currently around 385,000 pesos (around 370 euros at the inflated official exchange rate; around 250 euros at the black market rate).

The law was adopted by a large majority of votes in both the Chamber of Deputies and the Senate. It provides for a change in the method of indexing pensions so that it is more in line with the national average over 200 percent Inflation.

The president's veto can be overturned by a two-thirds majority vote in both houses of Congress. According to Argentine media, it is unclear whether the bill's supporters will gather such support.

Pensioners are one of the social groups most affected by Milei's austerity policies. Under his rule, Argentina has achieved a budget surplus, but this has come at the cost of falling real wages and pensions. According to some estimates, half of the population lives below the poverty line.

Pensioners protested in downtown Buenos Aires on Wednesday in response to the veto announcement. The demonstration was dispersed with tear gas by police armed with batons and shields.